Dealers who purchase grain directly from producers must be licensed and bonded pursuant to the Mississippi Grain Dealers Law. Operations or individuals who are not licensed are prohibited from purchasing grain from producers in Mississippi.
Warehouses that store grain for the public in Mississippi are required to be licensed pursuant to the Grain Warehouse Law of Mississippi, unless the warehouse is licensed under the United States Warehouse Act. The law requires the warehouse to post the license in a conspicuous place in the office of the grain warehouse and requires that grain warehousemen must be bonded for financial and storage obligations and must maintain sufficient assets to cover potential losses. Bonding requirements of the law range from a minimum of $15,000 to, in general, a maximum of $1,000,000.