U.S. to Begin Enforcing GLOMAG

On December 20, 2017, President Trump signed an Executive Order (EO 13818) which seeks to use economic sanctions to tackle international human rights abuses. EO 13818 blocks the assets of 13 persons and lays the framework for applying blocking and U.S. visa restrictions on additional persons in the future.

The EO also authorizes blocking sanctions to those who materially assist, sponsor, or provide financial, material, or technological support for, or goods or services to, the targeted activities even absent the presence of a Specially Designated National (SDN). This means that companies or individuals involved with parties that may be engaged in human rights violations or corrupt activities, even if not designated an SDN, run the risk of potentially being designated themselves under this broad authorization.

Read more about this development here.

Letter on Section 199A of Tax Law

NAEGA is consulting with and supporting the actions of the National Grain and Feed Association (NGFA) regarding issues raised with Section 199A of the Tax Cuts and Jobs Act of 2017.  Concern has been raised by industry participants about how the new Section 199A will influence grain marketing decisions. On January 11, NGFA and the National Council of Farmer Cooperatives (NCFC) issued a joint statement about these developments, which can be read here. According to the statement, NGFA and NCFC “are working intensively with stakeholders, including cooperatives, noncooperative-owned agribusinesses and Senate offices, including Senators Hoeven, Thune and Roberts. The goal of these discussions is to arrive at an equitable solution that preserves the benefits that cooperatives and their farmer patrons previously enjoyed under Section 199 of the tax code, while addressing any unforeseen impacts on producers’ marketing decisions.

Member Invoices and Annual Meeting Notification

NAEGA has completed its annual invoicing for membership dues and export volume fees. On Friday, January 12, each member representative should have received an email with a membership invoice and an annual member meeting notification. Member representatives will also receive an invoice and meeting notification via Fedex. All NAEGA member dues and export volume fees are due by February 15, 2018.