H.R. 6496: To require the Secretary of Agriculture to establish a program to make direct payments to certain specialty crop growers or wine producers who experience certain losses due to increased tariff burdens, and for other purposes.

This bill, known as the Specialty Crop & Wine Producer Tariff Relief Act, proposes the establishment of a program by the Secretary of Agriculture to provide direct financial assistance to specific groups affected by increased tariffs. The target recipients of this aid are:

• Specialty crop growers
• Wine producers

Direct Payment Program

The Secretary of Agriculture is required to set up the payment program within 180 days of the bill's enactment. This program will offer direct payments to growers and producers who experience financial losses due to increased tariffs imposed by other countries. The administration of this program will follow a structure similar to existing assistance programs for specialty crops.

Surplus Crop Purchases

Additionally, the Secretary can purchase surplus specialty crops (excluding wine grapes) for distribution to nutrition assistance programs.

Reporting Requirements

Starting 120 days after the Secretary begins implementing these provisions, an annual report will be submitted to Congress detailing:

• The direct payments made to eligible recipients, organized by crop and region
• The surplus crops purchased for nutrition programs

Funding Authorization

The bill authorizes necessary funds for the program through fiscal years 2026 to 2030. It allows the Secretary to use up to 1 percent of the funds for administrative costs.

Definitions

Key definitions included in the bill are as follows:

• Covered Loss: This term encompasses various financial impacts including increased costs related to perishability, export losses due to tariffs, and reduced market access.
• Increased Tariff Burden: Defined as tariffs introduced by other countries from January 20, 2025, onward.
• Nutrition Programs: Includes programs like school breakfast and lunch initiatives, and Supplemental Nutrition Assistance Program (SNAP).
• Specialty Crop: Defined according to the Specialty Crops Competitiveness Act, which includes fruits, vegetables, nuts, and wine grapes.
• Wine Producer: Refers to individuals or entities involved in wine production for commercial sale who possess the necessary facilities and licenses.

Conclusion of Financial Support

This bill aims to mitigate the financial impact of increased tariffs on specific agricultural producers, helping them maintain their operations and market presence during challenging economic conditions.

Relevant Companies

• DE (Deere & Company): May be impacted due to their role in providing equipment used by specialty crop growers, potentially seeing effects on demand if growers face losses.
• Vior Inc.: A wine producer that could be directly affected by reduced export revenues due to increased tariffs, as it relies on foreign markets for sales.