In response to the lack of progress on trade negotiations and the increasing tariffs that China has imposed on US commodities, the USDA has announced a second Market Facilitation Program. The first MFP was for the 2018 crop while this one will be for the 2019 crop. While the 2018 program was based on production of affected commodities, this one will be based on planted acres.
The program, as we understand it right now, will be based on 2019 combined plantings of affected commodities (including cotton) regardless of the acreage of each commodity planted. Each county will get a per acre per county payment and will be limited to a maximum of your 2018 plantings. This is being done so as not to affect the planting decisions of a given commodity.
The program will be delivered in up to three tranches where the first one will be set soon and the second and third will be based on market and tariff conditions. Once USDA plantings are set in mid July the payments will be determined for the first tranche.
More information can be found in the USDA press release found here: