--- portage/pym/portage.py
+++ portage/pym/portage.py
@@ -767,6 +767,7 @@
 		self.mycpv    = None
 		self.puseforce = []
 		self.puse     = []
+		self.penv     = []
 		self.pusemask = []
 		self.modifiedkeys = []
 		self.uvlist = []
@@ -826,6 +827,7 @@
 				"env":       self.configlist[7] }
 			self.profiles = copy.deepcopy(clone.profiles)
 			self.backupenv  = self.configdict["backupenv"]
+			self.penvdict   = copy.deepcopy(clone.penvdict)
 			self.pusedict   = copy.deepcopy(clone.pusedict)
 			self.categories = copy.deepcopy(clone.categories)
 			self.pkeywordsdict = copy.deepcopy(clone.pkeywordsdict)
@@ -1080,6 +1082,7 @@
 			self["ROOT"] = target_root
 			self.backup_changes("ROOT")
 
+			self.penvdict = {}
 			self.pusedict = {}
 			self.pkeywordsdict = {}
 			self.punmaskdict = {}
@@ -1106,6 +1109,14 @@
 			if os.environ.get("PORTAGE_CALLER","") != "repoman":
 				locations.append(abs_user_config)
 				pmask_locations.append(abs_user_config)
+				penvdict=grabdict_package(
+					os.path.join(abs_user_config, "package.env"), recursive=1)
+				self.penvdict = {}
+				for key in penvdict.keys():
+					cp = dep_getkey(key)
+					if not self.penvdict.has_key(cp):
+						self.penvdict[cp] = {}
+					self.penvdict[cp][key] = penvdict[key]
 				pusedict = grabdict_package(
 					os.path.join(abs_user_config, "package.use"), recursive=1)
 				for key in pusedict.keys():
@@ -1355,6 +1366,7 @@
 		if not keeping_pkg:
 			self.mycpv = None
 			self.puse = ""
+			self.penv = ""
 			self.pusemask = []
 			self.puseforce = []
 			self.configdict["pkg"].clear()
@@ -1411,6 +1423,11 @@
 			self.pusekey = best_match_to_list(self.mycpv, self.pusedict[cp].keys())
 			if self.pusekey:
 				self.puse = " ".join(self.pusedict[cp][self.pusekey])
+		self.penv = ""
+		if self.penvdict.has_key(cp):
+			self.penvkey = best_match_to_list(self.mycpv, self.penvdict[cp].keys())
+			if self.penvkey:
+				self.penv = " ".join(self.penvdict[cp][self.penvkey])
 		self.pusemask = []
 		if cp in self.pusemaskdict:
 			pusemaskkey = best_match_to_list(self.mycpv,
@@ -1423,10 +1440,25 @@
 				self.puseforcedict[cp].keys())
 			if puseforcekey:
 				self.puseforce = self.puseforcedict[cp][puseforcekey][:]
+		self.configdict["pkg"].clear()
 		self.configdict["pkg"]["PKGUSE"] = self.puse[:] # For saving to PUSE file
 		self.configdict["pkg"]["USE"]    = self.puse[:] # this gets appended to USE
 		# CATEGORY is essential for doebuild calls
 		self.configdict["pkg"]["CATEGORY"] = mycpv.split("/")[0]
+		for envname in self.penv.split():
+			penvfile = USER_CONFIG_PATH + "/env/" + envname
+			if not os.access(penvfile, os.R_OK):
+				writemsg("!!! Can't access package.env file %s\n" % penvfile)
+			else:
+				penvconfig = getconfig(penvfile)
+				if penvconfig is None:
+					writemsg("!!! Parsing error in %s\n" % penvfile)
+				else:
+					for penv in penvconfig.keys():
+						if penv in self.configdict["pkg"] and penv in INCREMENTALS:
+							self.configdict["pkg"][penv] += " "+penvconfig[penv]
+						else:
+							self.configdict["pkg"][penv] = penvconfig[penv]
 		self.reset(keeping_pkg=1,use_cache=use_cache)
 
 	def setinst(self,mycpv,mydbapi):