In June, the Federal Grain Inspection Service (FGIS) published an interim rule effective July 8 to increase the hourly and unit fees for official inspection services that are performed under the U.S. Grain Standards Act (USGSA).
NGFA and the North America Export Grain Association (NAEGA) submitted comments this week urging the FGIS to make adjustments to its user fee provisions.
“Due to the fees changes through the interim rule, NGFA and NAEGA are concerned about
the potential impact of promoting the marketing of high-quality grain to both domestic and
foreign buyers based on the agency’s current financial status,” noted NGFA President and CEO Mike Seyfert and NAEGA President and CEO Alejandra Costillo in the comments submitted July 8.
Notably, considering the projected decrease in agricultural exports, continued fee increases are unsustainable for the industry, NGFA and NAEGA said.
“There is a continued projection over the next twelve to eighteen months of a decline in exports. Therefore, the agency needs to look at all options to minimize costs and expenses for both the federal government and exporters to prepare for the decrease in user-fee revenue,” they stated.
Read NGFA’s full comments here.