Yesterday, the U.S. Commodity Futures Trading Commission held a meeting of its Global Markets Advisory Committee to hear presentations and provide dialogue on U.S. Treasury market issues. Conversations focused on recent stresses in markets and market reforms to prevent future stresses.
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ACSA Supports Rostin Behman for CFTC Chairman
On October 25th, ACSA along with 18 other agricultural associations wrote a letter to Senator Debbie Stabenow, Chairwoman of the Senate Agriculture, Nutrition, and Forestry Committee and Senator John Boozman, Ranking Member of the Senate Agriculture, Nutrition, and Forestry Committee, expressing our support for Rostin Behman to be Chairman of the Commodity Futures Trading Commission.
William H. “Buddy” Allen Elected as CICCA Chairman
Following the votes from all Committee for International Co-operation Between Cotton Associations (CICCA) members, William H. “Buddy” Allen, ACSA President/CEO, was elected as CICCA Chairman and Atif Dada, Karachi Cotton Association President, was elected Vice Chairman. Buddy looks forward to using this platform to share ACSA initiatives with other cotton trade associations with a goal of broader adoption.
Reconciliation Package Update
See the update below for a comprehensive review of the reconciliation process.
ACSA Along with 100 Supply Chain Participants Share Testimony on Congestion in the Memphis Marketplace
On August 11th, ACSA leaders including Buddy Allen of American Cotton Shippers Association, Michael Symonanis of Allenberg Cotton Co., Donna Lemm of IMC Companies, and Neely Mallory of Mallory Alexander International Logistics participated in a Federal Maritime Commission Memphis Supply Chain Stakeholder Meeting led by Commissioner Rebecca Dye. Over 100 stakeholders participated in the meeting including FMC Chairman Dan Maffei, Surface Transportation Board (STB) Chairman Martin Oberman, STB Board Member Patrick Fuchs, and key Congressional staff. In the meeting participants share testimony regarding supply chain congestion in the Memphis marketplace and the impact on their companies. Following that, Buddy shared a potential legislative solution by creating an interoperable, grey pool pilot in Memphis. Meeting summary below. Whitepaper created by the Memphis Supply Chain Innovation Team that discusses the problem and potential solution can be found below.
ACSA Along with 100 Other Companies and Associations Write Letter in Support of Garamendi/Johnson Bill
Yesterday, ACSA co-signed a letter to Representatives John Garamendi (D-CA) and Dusty Johnson (R-SD) endorsing the Ocean Shipping Reform Act of 2021 (OSRA21). The Act focuses on unreasonable detention and demurrage charges, and carrier rejection of U.S. export cargo. We believe that addressing these concerns will assist U.S. exports such as cotton to remain competitive in the global market.
Western State Members of Congress Sends Letter to Secretary Vilsack Regarding Relief for Cotton Merchandisers
On July 23rd, Representatives Jim Costa, Salud Carbajal, Jimmy Panetta, Tom O’Halleran, John Garamendi, and Ann Kirkpatrick wrote a letter to Secretary Vilsack asking him to assistant cotton merchandisers who have experienced significant losses due to the COVID-19 pandemic. The letter states that not only did cotton experience a huge downturn in consumption during the pandemic, but further impacts for cotton are “particularly acute” given “the heavy reliance on containerized shipments and the use of Los Angeles/Long Beach ports.” The ACSA staff is very thankful for the support of the Western Congressional leaders.
Georgia Leadership Sends Letter to Secretary Vilsack Regarding Relief for Cotton Merchandisers
Yesterday, Representative David Scott (D-GA), Chairman of the House Committee on Agriculture, Representative Sanford Bishop (D-GA), Chairman of the Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies, and Senator Raphael Warnock (D-GA), the sole cotton state Democrat on the Senate Committee on Agriculture, Nutrition, and Forestry wrote a letter to Secretary Vilsack asking him to use a portion of the discretionary funding given to the USDA through previous COVID-19 relief packages to assist cotton merchandisers. This coalition of key leaders referenced the additional assumed risks and costs created from COVID-19 related diminished demand and supply chain disruptions, recognizing the “important roles of merchandisers in providing liquidity and risk management to producers.” The ACSA staff is very grateful for the support displayed by these Congressional leaders.
House Transportation Subcommittee Hearing on Supply Chain Disruptions
Yesterday, the House Transportation Subcommittee on Coast Guard and Maritime Transportation held a hearing entitled “Impacts of Shipping Container Shortages, Delays, and Increased Demand on the North American Supply Chain.” The hearing featured two panels: the first panel included Federal Maritime Commission (FMC or Commission) Chairman Daniel Maffei and Commissioner Rebecca Dye, and the second panel included representatives from the private sector. Below are several key takeaways from the hearing.
CFTC Ag Advisory Committee Meeting
On June 9, 2021, the U.S. Commodity Futures Trading Commission held a meeting of its Agricultural Advisory Committee, which ACSA President/CEO Buddy Allen and Vice-Chairman Tommy Hayden sit on. The Committee received a report from the Subcommittee to Evaluate Commission Policy with Respect to Implementation of Amendments to Enumerated Agricultural Futures Contracts with Open Interest. A special thank you to Azeez Syed of Olam Cotton for his work on the Subcommittee, and David Rossen of Allenberg Cotton Company for serving as a panelist during the meeting. The meeting also included a discussion on global ag commodity derivatives contracts and other agricultural risk management issues.
