Temporary Storage for Rice & Soybeans Licensed Under USWA

The Farm Service Agency (FSA) announces the conditions under which temporary storage space for the 2006 crops of rice and soybeans may be licensed under the United States Warehouse Act (USWA).
        Because the 2006 crop harvest is expected to exceed available commercial storage space in certain areas, FSA has taken actions to ensure adequate availability of storage space at harvest for producers seeking warehouse-stored marketing assistance loans for grain. As a result, FSA and the Commodity Credit Corporation published notices in the Federal Register on July 3, 2006, and August 14, 2006, allowing USWA grain licensees to request the licensing of emergency and temporary storage space under the USWA for wheat, corn and other feed grains under certain conditions.
        Grain stored in emergency storage space must be removed no later than March 31, 2007, and grain stored in temporary storage space must be removed no later than July 1, 2007.
        Because soybeans are more susceptible to weather, infestation, and other deteriorating conditions than bulk grains, soybeans are not approved for emergency storage space. FSA will allow licensing of temporary storage space for 2006-crop rice and soybeans under the following terms and conditions:
        Temporary Storage Requirements
        Such space may be used from the time of initial licensing until March 31, 2007. Temporary storage structures must be operated in conjunction with a USWA-licensed warehouse. In addition:
        1. An asphalt, concrete, or other approved base material must be used
        2. Rigid self-supporting sidewalls must be used.
        3. Aeration must be provided.
        4. Acceptable covering, as determined by FSA, must be provided.
        5. The Commodity must be fully insured for all losses.
        6. Warehouse operators must meet all financial and bonding requirements of the USWA.
        7. Warehouse operators must maintain a separate record of all rice and soybeans stored in temporary grain storage space and must account for rice and soybeans in the Daily Position Record.
        USWA licensees should direct questions regarding the use of temporary rice and soybean storage to Terry Chapman, Chief, Licensing Branch, Warehouse License and Examination Division, at: Kansas City Commodity Office, Mail Stop 9148, P.O. Box 419205 Kansas City, MO 64141-6205, [email protected].