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The organization listed a number of provisions that will be most valuable to small businesses within the natural products industry.
March 26, 2020
By: Mike Montemarano
The Natural Products Association (NPA) applauded President Donald Trump and Congress for the passage of a bipartisan economic stimulus package, the CARES Act, which was passed in response to economic downturns associated with COVID-19. The organization believes that a number of provisions will be of most use to the natural products industry: the Defense Production Act, which will bolster domestic supply chains, allow the industry to increase the production of personal protective equipment (PPE), ventilators, and other urgently necessary medical supplies; $17 billion to the Small Business Administration (SBA) to cover 6 months of payments for small businesses with existent SBA loans; $10 billion for emergency grants of up to $10,000 for immediate relief for operating costs; and $562 million to ensure the SBA has the resources to provide economic injury disaster loans (EIDL) to businesses that need relief. Additionally, rent, mortgage, and utility costs are now eligible for SBA loan forgiveness. The U.S. Senate overwhelmingly approved the $2 trillion relief package 96-0 on Wednesday night. It is the largest rescue package in American history. In addition to an array of programs, Americans will receive direct payments based on income and dependents amounting to $1,200 for most American adults. Unemployment insurance has been aggressively expanded, as unemployment claims soared to 3.3 million in the U.S. last week, which will raise the maximum unemployment insurance benefit by $600 per week. Additionally, more than $150 billion was dedicated to the health care system, $100 billion of which will go toward PPE, ventilators, and other equipment. This is the third piece of legislation, and the third emergency stimulus bill signed into law, that was passed in the U.S. to address the coronavirus pandemic. The full text of the bill can be read here.
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