Opportunity Information: Apply for 2020 08

The Section 108 Foreign Currency Program (FY2020) is a competitive grant opportunity run by the U.S. Department of Agriculture's Foreign Agricultural Service (FAS), Office of Trade Programs, designed to support overseas market development and agricultural technical assistance using foreign currencies. For this funding cycle, the only currency available is Moroccan local currency, and FAS is specifically inviting proposals that can effectively use Moroccan currency to carry out eligible activities. This announcement replaces any prior program announcements for Section 108, meaning applicants should rely on this notice as the controlling guidance for FY2020.

A key feature of this opportunity is that awards are not paid in U.S. dollars. Instead, FAS makes Moroccan currency available, and those funds must be disbursed through U.S. embassy disbursing officers. Recipients are responsible for handling the practical side of receiving and using the foreign currency, including any local arrangements needed to spend it appropriately. Applicants also need to plan around an important restriction: the Moroccan currency cannot be converted into another currency before disbursement. Even though the currency originates in Morocco, the program allows funded activities to take place outside Morocco as well, as long as the project can legitimately use the Moroccan currency provided under the program.

The program supports projects tied to U.S. agricultural commodities, with one explicit exclusion: tobacco is not eligible. FAS uses Section 108 agreements to back certain overseas marketing and promotion efforts, but the activities must be generic in nature. In practice, that means the project should benefit a U.S. agricultural commodity category or sector broadly rather than promoting a specific brand, company, or proprietary product. Proposals should focus on market development initiatives and technical assistance activities that help expand or strengthen demand, market access, or understanding of U.S. agricultural commodities in international markets.

Applications are reviewed competitively using the evaluation criteria described in the official notice, and applicants must make a clear case for why Section 108 support is necessary. Proposals are expected to include a justification explaining what would not be achievable without federal assistance and why the participating organization(s) would be unlikely to carry out the work without this funding. The program allows flexibility in submissions: an applicant can submit more than one proposal, and there is no stated cap on the number of projects that can be funded per participant, subject to available funds and proposal quality.

The funding terms emphasize reasonable, approved costs only. FAS will not reimburse expenses considered unreasonable, and it will not cover any costs incurred before a proposal is approved, so project timelines and spending plans need to be structured to avoid pre-award expenditures. While cost sharing is strongly encouraged, it is not mandatory for Section 108 proposals. Even so, FAS will take into account how willing and able an applicant is to contribute resources to the project when making funding decisions. Those contributions can include cash as well as in-kind support like goods and services, whether provided by U.S. industry partners or foreign third parties.

From an eligibility standpoint, the opportunity is open to a wide range of applicant types, including state, county, and city or township governments; public and state-controlled institutions of higher education; private institutions of higher education; federally recognized Native American tribal governments; nonprofit organizations with 501(c)(3) status (other than higher education institutions); and for-profit organizations other than small businesses. The funding instrument type is a grant, the activity area is agriculture, and the CFDA number listed is 10.617. The opportunity was created on October 29, 2019, and FAS anticipated making initial funding selections by the end of November 2019, with applications reviewed on a rolling basis as they are received as long as funding remains available.

In terms of award size and anticipated volume, the listed award ceiling is $500,000, and FAS expected to make about two awards. The application deadline is firm: all applications must be received by 5:00 p.m. Eastern Daylight Time on September 30, 2020. Late submissions are not considered, so applicants need to plan for sufficient lead time to prepare a compliant package and submit before the cutoff.

  • The Department of Agriculture, Office of Trade Programs in the agriculture sector is offering a public funding opportunity titled "Section 108 Foreign Currency Program (FY2020)" and is now available to receive applicants.
  • Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 10.617.
  • This funding opportunity was created on Oct 29, 2019.
  • Applicants must submit their applications by Sep 30, 2020. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
  • Each selected applicant is eligible to receive up to $500,000.00 in funding.
  • The number of recipients for this funding is limited to 2 candidate(s).
  • Eligible applicants include: State governments, County governments, City or township governments, Public and State controlled institutions of higher education, Native American tribal governments (Federally recognized), Nonprofits having a 501(c)(3) status with the IRS, other than institutions of higher education, Private institutions of higher education, For profit organizations other than small businesses.
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