Specialty Crop & Wine Producer Tariff Relief Act

Not later than 180 days after the date of the enactment of this section, the Secretary of Agriculture (hereinafter the Secretary) shall establish a program to make direct payments for covered losses, and distribute such payments, to the following persons:

(A) Specialty crop growers.

(B) Wine producers.

The Secretary shall administer the program established under this subsection in a manner substantially similar to the Marketing Assistance for Specialty Crops program authorized by section 5(e) of the Commodity Credit Corporation Charter Act (15 U.S.C. 714c(e)).

The Secretary may purchase surplus crops (other than wine grapes) to be distributed for nutrition assistance programs.

Beginning not later than 120 days after the date on which the Secretary first exercises any authority under subsections (a) or (b), and annually thereafter until 2030, the Secretary shall provide to Congress a report, organized by crop and region, on—

(1) the direct payments distributed under subsection (a); and

(2) any surplus crops purchased under subsection (b).

There is authorized to be appropriated to the Secretary such sums as are necessary to carry out this section for fiscal years 2026 through 2030.

Out of any funds made available to carry out this section, the Secretary may use not more than 1 percent for administrative costs.

In this section:

The term covered loss includes—

(i) increased costs related to—

(I) the tenderness and perishability of specialty crops;

(II) the need to use specialized handling and transport equipment with temperature and humidity control;

(III) packaging to prevent damage;

(IV) moving perishables to market quickly; and

(V) higher labor costs;

(ii) reduced exports due to an increased tariff burden;

(iii) lost export revenue due to decreased foreign demand;

(iv) economic loss due to reduced market access;

(v) reduced contracts with a foreign buyer; and

(vi) cancelled or reduced contracts due to reduced foreign demand.

With respect to a wine producer or a specialty crop grower who produces wine grapes, the term covered loss —

(i) has the meaning given such term under paragraph (A); and

(ii) includes lost qualifying export revenue for wine.

The term increased tariff burden means a tariff that was introduced by another country on United States products on or after January 20, 2025.

The term nutrition programs includes the following:

(A) The school breakfast program established under section 4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773).

(B) The school lunch program under the Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.).

(C) The supplemental nutrition assistance program under the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).

(D) Any other such programs as determined by the Secretary.

The term qualifying export revenue means the percentage of lost export revenue for wine in an amount equal to the percentage of such wine produced in the United States with United States-grown grapes.

The term specialty crop —

(A) has the meaning given such term in section 3 of the Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note); and

(B) includes wine grapes.

The term wine means the product obtained from normal alcoholic fermentation of the juice of sound ripe grapes or other agricultural products containing natural or added sugar or any such alcoholic beverage to which is added grape brand, fruit brandy, or spirits of wine, which is distilled from the particular agricultural product or products of which the wine is made and other rectified wine products and by whatever name and which does not contain more than 15 percent added flavoring, coloring, and blending material and which contains not more than 24 percent of alcohol by volume, and includes vermouth and sake, known as Japanese rick wine.

The term wine producer means any person who—

(A) owns, or has access to, a facility and equipment for the conversion of grapes, berries, or other fruit into wine;

(B) is engaged in the production of wine for commercial sale; and

(C) holds all licenses, permits, or approvals required under Federal or State law for the activities described under subparagraphs (A) and (B).