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2 North America, Europe, U.S.S.R., Japan, Republic of South Africa, Australia, and New Zealand.
8 Latin America, Asia (except Japan and Communist Asia), Africa (except Republic of South Africa).

TABLE 2.-WORLD PRODUCTION, CONSUMPTION AND NET TRADE OF GRAIN, 1964-66 AND 1969-71 WITH PROJECTIONS FOR 1980

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1 Preliminary projections, minus indicates net imports.

* Includes United States, Canada, Western Europe, Japan, Australia, New Zealand and South Africa.

3 Includes Eastern Europe, U.S.S.R. and the Peoples Republic of China.

• Includes rest of world.

'Some regions do not balance because of stocks. 1969-71 column is an average centered on 1969. 7 Low net trade alternative.

TABLE 3.-WORLD PER CAPITA CONSUMPTION OF GRAINS, 1964-66, AND 1969-71 WITH PROJECTIONS FOR 1980 ↑

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21969-71 for rice is an average centered on 1969.

8 Includes United States, Canda, Western Europe, Japan, Australia, New Zealand, and South Africa.

♦ Eastern Europe and U.S.S.R. only. Projected per capita consumption for the Peoples Republic of China in 1980 for wheat is 42 kilos, for coarse grains 93 kilos and for milled rice 84 kilos.

Includes rest of world.

Senator HUMPHREY. We are in recess.

[Whereupon, at 4:20 p.m., the subcommittee was recessed, subject to

the call of the Chair.]

[Additional statements filed for the record are as follows:]

STATEMENT OF HON. QUENTIN N. BURDICK, A U.S. SENATOR FROM THE STATE OF NORTH DAKOTA

Senator BURDICK. I first want to express my appreciation to the co-chairmen of these hearings, Senator Humphrey and Senator Huddleston for undertaking this very important examination of both our national and the world food situation.

As a co-sponsor of S. 2005, a bill to provide adequate reserves of certain storable farm commodities, I want to reemphasize the importance of rebuilding and maintaining adequate reserves of grains and soybeans as an essential cornerstone of a realistic national food policy in our current world situation.

I am pleased to note that, as the weeks go by, increasing numbers of farm leaders and farm economists in this country, and in other leading agricultural countries, share this view.

The situation confronting the Soviet Union might be considered in viewing the need for reserves. In most years the Soviet Union produces more wheat than the four major exporters combined (U.S., Canada, Australia and Argentina). They apparently now intend to respond to increased consumer demand in their country, so in years of reduced production they will turn to imports to meet their needs as they did in 1972.

The Soviet Union probably has the most uncertain crop yields in the world due to their unpredictable weather. This in turn creates uncertainty for the rest of the world since this fluctuating demand can lead to chaotic world marketing conditions. This requires that the United States should do everything possible to build stabilizing reserve grain stocks.

On examining the provisions of the Agriculture and Consumer Protection Act of 1973 which was passed by the Congress this summer and approved by the President on August 11, I find that new legislation is not necessarily required for the achievement and maintenance of adequate reserves as basic to a national food policy.

All that is needed is an administration which understands the needs of American farmers and American consumers for stable supplies and prices and a willingness to administer existing legislation to achieve these goals.

Under the discretionary authority given the Secretary of Agriculture in the Agriculture and Consumer Protection Act of 1973, the Secretary should:

1. Announce higher minimum market price support levels for grains and soybeans in line with the economic implications of the two recent dollar devaluations and the inflation in production costs.

2. Announce that any farm commodities acquired by the Commodity Credit Corporation as a result of price support loans will not be sold for less than the target prices of the grains or less than 150 percent of the new soybean loan level. This would assure that any accumulated stocks would not depress market prices below the target price levels or 150 percent of the soybean loan level.

3. Announce that no commodity adjustment or set-aside programs will be undertaken until commodity reserves are substantially higher than they were at the close of the 1974 marketing year.

4. If reserve stocks threaten to exceed desirable reserve levels, before announcing a cropland set-aside or adjustment program the Secretary of Agriculture should call a conference of the more important foreign buyers of the United States commodities for the purpose of reviewing the possibilities of their purchasing additional quantities for reserve stock building purposes. The Commodity Credit Corporation should make three-year credits available at moderate rates of interest for such purposes.

5. Although not an integral part of an adequate reserve plan, the Secretary of Agriculture should be encouraged to use individual commodity adjustment incentives rather than a cropland set-aside program if stocks of one or more of the commodities threaten to become excessive. This would minimize the danger that the restriction in production of one commodity such as wheat, would also restrict the production of a commodity not in over-supply such as soybeans.

Mr. Chairman, one means of assuring the building and maintenance of adequate reserve stocks is the passage of S. 2005. This may take months in view of the other legislation scheduled to come before this Congress.

It has occurred to me that as an alternative, when these hearings are concluded, your subcommittees might draft a "sense of the Senate" resolution urging the Secretary of Agriculture to administer the Agriculture and Consumer Protection Act of 1973 as outlined above in order to stabilize prices for producers at high levels of production and stabilize supplies and prices for domestic consumers and export buyers.

It would be my hope that such a sense of the Senate resolution could be approved by the Senate before the arrival of the spring crop planting season and that the Secretary of Agriculture would take the steps necessary to implement such a national security reserve.

WORLD FOOD SUPPLY AND AGRICULTURAL TRADE: PENDING LEGISLATION

[Prepared by Janice E. Baker, Research Assistant in Agriculture, October 15, 1973] The following list of 35 bills was obtained from two sources, the bill digest computer and the published index to the Congressional Record. This accounts for the differences in the format of the citations.

Identical bills have not been listed for the sake of brevity.

S. Res. 157, Mr. McGovern, 8/3/73, Agriculture and Forestry

Digest.-Makes it the sense of the Senate: (1) that the United States shall cooperate to the fullest possible extent with appropriate international agencies, including the Food and Agriculture Organization of the United Nations, in efforts to establish world reserves of basic food commodities; (2) that the President of the United States should immediately initiate a study to determine proper levels of appropriate rules and regulations for the effective management of domestic reserves of basic food commodities, accounting for domestic and foreign demands in both commercial and concessional markets; and (3) that at the beginning of the Second Session of the 93rd Congress, the President should recommend to the Congress a plan for the establishment of domestic food reserves, and that he should report to the Congress at the same time on progress toward the establishment of world food reserves.

S.J. Res. 147, Mr. McIntyre, 7/3/73, Agriculture and Forestry Digest.-Requires the Secretaries of Agriculture and Commerce to report to Congress within 30 days after enactment of the resolution on the impact of the sale of grain to the People's Republic of China on the American economy and

consumer.

S. 437, Mr. Bellmon, 1/18/73, Banking, Housing, Urban Affairs Digest. To amend the Export Administration Act of 1969, as amended.

S. 791, Mr. Muskie, 2/7/73, Banking, Housing, Urban Affairs Digest. To amend the Export Administration Act of 1969 with respect to the exclusion of agricultural commodities from export controls.

S. 1110, Mr. Gurney, 3/6/73, Agriculture and Forestry

Digest.-Fresh Fruits and Vegetables Market-Sharing Act-Declares it to be the policy of Congress that access to the United States market for foreign produced fresh fruit and vegetables should be established on an equitable and orderly market-sharing basis consistent with the maintenance of a strong and expanding United States production of fresh fruits and vegetables and designed to avoid the disruption of United States markets and the unemployment of United States agricultural workers.

S. 1310, Mr. Tunney, 3/20/73, Banking, Housing and Urban Affairs Digest.-Meat Export Control Act-Provides that the President shall monitor statistics issued by the United States Department of Labor showing esimated retail prices of individual foods as derived from data collected by the United States Department of Labor for use in the Consumer Price Index. States that not more than three days after issuance of any such statistics which show that there has been a cumulative rise in the average of the retail prices of the meat products specified in this Act during a period of three consecutive months commencing on or after January 1, 1973, the President is required to ban the export of these meat products.

S. 1488, Mr. Inouye, 4/5/73, Commerce

Digest.-Tariff Simplification and Freight Rate Disparities Act-Requires the Federal Maritime Commission, within 180 days after the date of enactment of this Act, to publicly propose regulations for comment by interested parties and after consideration of such comments to adopt a system of uniform classifications and description of commodities to be used by all common carriers by water in foreign commerce and all conferences of such carriers, when filing any rate, charge, or tariff with the Commission.

Provides that within 60 days after the adoption of such system the Commission shall propose regulations requiring all common carriers by water and all conferences of such carriers when filing any outbound or inbound rate or charge with the Commission to file a rate or charge for the movement of the commodity in the opposite direction.

S. 2005, Mr. Humphrey, 6/15/73, Agriculture and Forestry

Digest. To provide for adequate reserves of certain agricultural commodities.

S. 2083, Mr. Chiles, 6/27/73, Foreign Relations

Digest. To amend the Foreign Assistance Act of 1961, as amended.

S. 2241, Mr. Humphrey, 7/25/73, Foreign Relations

Digest. To provide famine and disaster relief to the countries of the African Sahel. S. 2335, Mr. Humphrey, 8/2/73, Finance

Digest.-To amend the Foreign Assistance Ac tof 1961.

S. 2354, Mr. Humphrey, 8/3/73, Foreign Relations

Digest.-To provide for participation of the U.S. in the African Development

Fund.

S. 2411, Mr. Javits, 9/13/73, Banking, Housing, Urban Affairs

Digest.-To amend the Export Administration Act of 1969 to provide for the regulation of the export of agricultural commodities.

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