2006 Wool LDP Sign-up Underway

Producers will find it easier this year to apply for loans and loan deficiency payments (LDP) for wool and unshorn pelts. The Farm Service Agency (FSA) is getting ready to release the new CCC-633 EZ form, which will accommodate requests for these payments. This new form is designed to help streamline the LDP process.

The CCC-633 EZ form will take the place of the older CCC-633 PELT and CCC-709 PELT forms. This form has been used by other commodities and is now being revised to include both wool and unshorn pelt payments.

Using the new form, the producer will complete the portion of the form which indicates his/her intention to receive an LDP benefit later in the year. It is still important that producers complete this portion of the form before losing beneficial interest in the commodity.

?In the past, some producers have been unable to collect LDPs because they lost beneficial interest before completing the required paperwork,? commented Peter Orwick, executive director for the American Sheep Industry Association. ?Now, at the beginning of each year, producers will be able to work with their local FSA office to complete the portion of the new form that indicates their intent to receive an LDP payment for specific crops.?

FSA is recommending that producers contact their local office to begin the process for the 2006 wool season.

Staff contact: Peter Orwick, ext. 33