A progress payment based on standard grades of two cents per pound on Seasonal Pool San Joaquin Valley Acala varieties and one cent on California Upland and California/Arizona styles was approved at Calcot's April executive committee meeting.
The committee also approved a one-cent per pound payment on Pima cotton in the seasonal and call pool.
Calcot's board of directors at its March meeting authorized the executive committee to approve a payment up to $7 million based on achieving a healthy March month finanical end. Such action was necessary to make the payment in a timely manner, since the full board of directors will not meet again until May 15.
Payment will be in the mail to Calcot's California and Arizona members by April 30.
After the payment, base grade SJV Acala will stand at 65.20 cents per pound for grade 31-3-36 in gin UD free terms. C/A cottons will stand at 60.30 for 31-3-35, and California Upland cotton (SJV non-Acala) will be 61.90 cents per pound, gin UD free.
San Joaquin Valley Pima will be advanced at 83.85 cents per pound following the one-cent progress payment. Desert Pima varieties will be at 82.25 cents per pound.
Only Pima cotton in Calcot's Call Pool was eligible for a progress payment at this time, and will be paid one cent per pound, bringing the advance level to 200 points off the fixation.
The payment is the second progress payment of the season, following the initial advance paid during the cotton harvest in the fall of 2002, and a progress payment made in January.
Calcot will typically make from two to four progress payments per season, with a final settlement made in late September following the end of the marketing year, which runs from Aug. 1 to July 31.