(a) For purposes of this subpart, eligible upland cotton is baled upland cotton, regardless of origin, that is opened by an eligible domestic user, and is either:

1. (1) Baled lint, including baled lint classified by USDA's Agricultural Marketing Service as Below Grade;
2. (2) Loose samples removed from upland cotton bales for classification purposes that have been rebaled;
3. (3) Semi-processed motes that are of a quality suitable, without further processing, for spinning, papermaking, or production of non-woven fabric; or
4. (4) Re-ginned (processed) motes.

(b) Eligible upland cotton must not be:

1. (1) Cotton for which a payment, under the provisions of this subpart, has been made available;
2. (2) Raw (unprocessed) motes, pills, linters, or other derivatives of the lint cleaning process; or
3. (3) Textile mill wastes.