The U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) is announcing the availability of $50 million for the new Cotton and Wool Apparel Program (CAWA), which will support the domestic markets for wool and Pima cotton by assisting eligible apparel manufacturers of men’s and boys’ worsted wool suits, sport coats, pants or Pima cotton dress shirts, Pima cotton spinners and woold fabric manufacturers and wool spinners.
The COVID-19 pandemic dramatically reduced the demand for these types of clothing, textiles and threads and, in turn, the market for the raw commodities. CAWA will assist in the development and restoration of the market for domestically produced cotton and wool products and ultimately for the underlying commodities.
To be eligible for CAWA, an applicant must have experienced a decrease of at least 15% in calendar year 2020 gross sales or consumption of eligible products described in this document compared to the applicant’s gross sales or consumption in any selected calendar years 2017, 2018 or 2019. Payments to eligible entities will be based on their pre-pandemic market share relative to other similar applicants subject to payment limitations.
The eligibility requirements, payment calculation and application procedure for CAWA can be found here: bit.ly/37pqtE2.