Civilian domestic food use was up about 13 percent and domestic nonfood (excluding feed and seed) rose 11 percent. The increase in food use was slightly more than the increase in population; that for nonfood was about the same. Exports averaged 50 percent above 1957-59.

The index of per capita food consumption changed moderately. In 1964-66, the average was about 2 percent above 1957-59. Consumption of individual commodities or commodity groups is less stable. Consumption of red meat was 170 pounds (carcass weight) per person in 1966, 8 percent above 1957–59, but nearly 5 pounds below 1964. Per capita consumption of beef and veal was 108 pounds, 21 percent higher than 1957-59. However, per capita consumption of pork at 58 pounds was 8 percent below the earlier period.

Consumption of both chicken at 35.5 pounds and turkey at 7.6 pounds were record high in 1966. Consumption of these two poultry meats was nearly 30 percent above 1957-59.

In general, long-term trends in per capita consumption of many food items continued. However, the long-term downtrend in per capita consumption of cereal products may have leveled out and that for potatoes and sweet potatoes appears to have touched bottom and turned upward. Per capita consumption of vegetables has changed little in the past several years, with increases in processed vegetables offsetting declines in vegetables in fresh form. Consumption of eggs per person continued to decline and was 15 percent below 1957-59.

Per capita use of dairy products (excluding butter) was down slightly from 1957-59 but per capita consumption of cheese increased. Consumption of food fats and oils totaled 49 pounds in 1966. Since 1957-59, increases in margarine, shortening and other edible fats and oils have more than offset declines in butter and lard.

The increase of nearly 9 percent in retail food prices from 1963 to 1966 was somewhat greater than the increase of 6 percent in the consumer price index. EXPORTS

Rapid economic growth in the Western European countries, Japan and Canada have continued to stimulate U.S. agricultural exports to these areas. The value of U.S. agricultural exports in the fiscal year ended June 30, 1966 reached a record high $6.7 billion. For the 3 fiscal years 1964-66 the value of exports averaged $6.3 billion, 26 percent higher than the average for the previous 3 years. Commercial exports, which increased from $3.5 billion to $4.7 billion or 34 percent, accounted for the bulk of the increase. Exports under specified government programs averaged $1.6 billion, up 7 percent.

The value of exports to European Economic Community nations averaged $1.4 billion in fiscal 1964-66, up 28 percent from the earlier average. Exports to Europe accounted for 43 percent of the total value in 1964-66. Asia took 32 percent, Canada 10 percent and Latin America around 9 percent. Exports to Africa were 5 percent and those to Oceania less than 1 percent. In fiscal year 1966, the 3 leading commodity groups in terms of export values were: wheat and flour, $1.4 billion; feed grains, $1.4 billion; and oilseeds and products, $1.2 billion. Most of the feed grains and oilseeds were commercial exports. About two-thirds of the wheat and flour was shipped under Government programs.

IMPORTS

U.S. imports of farm products averaged $4.1 billion in fiscal years 1964-66, 11 percent higher than for the 3 preceding years. The value of imports of products produced commercially in the U.S. averaged $2.3 billion and were 12 percent higher. The value of imports of products not produced in the U.S. averaged $1.8 billion, an increase of 9 percent. A little more than 40 percent

of the value of imports of farm products came from Latin America, nearly 20 percent from Asia, 15 percent from Europe, 10 to 12 percent from Africa, around 10 percent from Oceania and 5 percent from Canada. The relative importance of imports from Latin America has declined some. Those from Africa and Oceania have increased. Meats and meat products at 22 percent and cane sugar at 18 percent are the leading supplementary import items. Other important supplementary imports include oilseeds and products, apparel wool, fruits and vegetables, live animals and tobacco.

Coffee is by far the leading complementary import and accounted for nearly 60 percent of the total value of such imports in fiscal 1966. Other important complementary imports include rubber, bananas and cocoa beans.

CARRYOVER STOCKS

Stocks of wheat and feed grains declined rapidly as the result of expanding domestic and export demand and production adjustment programs. Stocks of wheat on July 1, 1966 were 535 million bushels, down 60 percent from the peak level of 1,411 million bushels on July 1, 1961. Stocks of feed grains totaled 42 million tons at the beginning of the 1966 marketing year. This was around half the peak level of 85 million tons on hand at the beginning of the 1961 marketing year. Stocks of wheat and feed grains are expected to be even smaller at the beginning of the 1967 marketing year.

Stocks of dairy products totaled 4.4 billion pounds of milk equivalent on January 1, 1966. This was well below any year since 1960. Lower levels of milk production in 1965 and 1966 were responsible for the decline in stocks of dairy products.

Carryover stocks of cotton climbed rapidly from 1962 and reached a record high level of 16.9 million bales as of August 1, 1966. Reduced production in 1966 and increases in both domestic disappearance and exports during the 1966-67 marketing year are expected to reduce cotton stocks to around 12 million bales by August 1, 1967.

Commodity Credit Corporation investment in price support inventories and loans was $5.3 billion as of June 30, 1966. This was a decline of nearly $2 billion or 27 percent from June 30, 1963. There were sharp declines in price support investments for feed grains, wheat, and dairy products. The CCC investment in cotton was up around 50 percent.

FARM PRICES, INCOME, AND COSTS

PRICES PAID AND RECEIVED

Prices received by farmers during 1964-66 averaged 3 percent higher than both 1961-63 and 1957–59. Much of the increase occurred in 1966 which was 10 percent above 1957-59. Prices of livestock and livestock products accounted for most of the rise, ranging 5 percent higher than 1961-63 and 2 percent higher than 1957-59. Prices of crops averaged 105 percent of 1957-59. This was slightly higher than the 104 of 1961-63.

Prices of meat animals showed the largest percentage gain and at 116 percent of 1957-59 were up 22 percent from 1963. Dairy products prices were up 15 percent and those for poultry and eggs up 11 percent. About half of the gain in prices of meat animals and most of the gain for dairy products and poultry and eggs occurred in 1966.

Prices of oil-bearing crops were up 15 percent from 1963 to 1966 when they stood at 128 percent of 1957-59. Prices of tobacco gained 12 percent and feed crops were up 9 percent.

Cotton prices declined 21 percent to 82 percent of 1957-59 while food grains at 87 percent of 1957-59 were down 18 percent from 1963. Much of the decline in prices of wheat and cotton resulted from changes in the price

support program for these commodities. However, producers of these commodities who participated in the production adjustment programs received payments which helped to maintain their incomes.

Prices paid by farmers for production items including interest, taxes and farm wage rates in 1966 were 8 percent above 1963 and 16 percent above 1957-59. Interest payable per acre was 232 percent of 1957-59, up 43 percent from 1963. Taxes were 165 percent of 1957-59 and 18 percent above 1963. Farm wage rates rose 16 percent to 135 percent of 1957-59. Production goods at 108 were 4 percent higher than 1963. Prices of farm-originated production items increased 5 percent to 108 percent of 1957-59. Prices paid for feed were up 5 percent and those for purchased livestock were 9 percent higher than in 1963. Prices paid for production items of nonfarm origin were 119 percent of 1957-59 and 8 percent higher than 1963. Increases of 8 percent in prices of motor vehicles and 10 percent for farm machinery were the principal changes within this group.

FARM INCOME

Realized gross farm income was a record high $49.5 billion in 1966. On the basis of averages for 1964-66, gross farm income, farm production expenses and net farm income were all about 25 percent higher than in 1957-59. Cash receipts from marketings at $42.9 billion in 1966 were 15 percent higher than 1963. Cash receipts from livestock and products were $24.6 billion in 1966, up 24 percent from 1963. Cash receipts from crops at $18.2 billion were 5 percent above 1963. Livestock and products accounted for 58 percent of total cash receipts from marketings in 1966. As a result of increased emphasis on payments in government farm programs, payments increased to $3.3 billion in 1966. This was nearly double the amount in 1963. Farm production expenses continued the advance that has been underway with only minor interruptions since 1953. They totaled $33.2 billion in 1966, 12 percent higher than in 1963. Realized net farm income was $16.3 billion in 1966. This was 30 percent higher than in 1963 and except for 1947, the highest on record. With the sharp increase in aggregate net income and the continuing downtrend in the number of farms, realized net income per farm was record high at $5,024. This was 44 percent higher than in 1963.

Per capita disposal income of the farm population averaged $1,731 in 1966, 34 percent above 1963. This was 66 percent of the per capita disposable income of the nonfarm population. Except for 1948, this was the highest percentage on record. Both the sharp increase in farm income and continuing decline in farm population contributed to the increase.

FARM PRODUCTION ASSETS

The value of assets used in farm production continued to rise and totaled $202 billion on January 1, 1966. This was an increase of $23 billion or 13 percent from January 1, 1964. The value of farmland and service buildings was $155 billion, or 77 percent of the value of all productive assets.

The inventory value of machinery and motor vehicles at $27 billion, and that of livestock on farms at $17.5 billion were both up nearly 12 percent from 2 years earlier. The value of other assets--crops stored for later use in production and financial assets changed very little.

The average value of production assets per farm worker rose to new highs as the result of the continuing rise in the aggregate value of assets and the decline in numbers of farms and number of farm workers. Average value of productive assets per farm was nearly $66,000 on January 1, 1966, an increase of 18 percent from the same date in 1964. Productive assets per worker were valued at $36,000. This was 30 percent higher than on January 1, 1964.

Total farm assets, including farm dwellings and household equipment, were valued at $273 billion on January 1, 1967. This was $44 billion or 19 percent above January 1, 1964. Farm debt, including Commodity Credit Corporation (CCC) loans totaled $46 billion on January 1, 1967. This was 31 percent higher than 3 years earlier. Farm real estate debt totaled $232 billion and was up nearly 40 percent over the 3 years. Non-real estate debt rose 32 percent to $212 billion. CCC loans declined. Farm debt was nearly 17 percent of the total value of farm assets on January 1, 1967 compared with 15 percent as of January 1, 1964.

MARKETING AND CONSUMER SERVICES

CONSUMER INTERESTS PROGRAM

An increased awareness of the consumer and his welfare has been demonstrated by the public and legislators, and by business, industry, and education. At the Federal level, consumer interest is represented by a Special Assistant to the President for Consumer Affairs and a Consumer Advisory Council. Five States have Consumer Councils and twenty have consumer protection agencies which work to guard against consumer fraud. In 15 States, representatives of education, labor, and business have organized consumer groups. Others are being formed.

Through the President's national consumer program, four consumer rights have been emphasized: the right to know, the right to choose, the right to safety, and the right to be heard. Progress has been made in implementing these rights through: (1) consumer representation within the Federal government, (2) consumer representation within the States, (3) voluntary consumer organizations, (4) expansion of consumer education in the schools and in adult education, and (5) Federal and State legislation.

Federal agencies have been active on behalf of the consumer. The U.S. Department of Agriculture devoted its 1965 Yearbook to consumer interests. This book, "Consumers All," contains information based on research on houses, furnishings, equipment, finances, safety, plants, landscaping, recreation activities, clothing, and food. Over a half million copies have been distributed. In addition, a paperback copy of this publication, produced commercially, has reached many more thousands of people through paperback racks in retail

stores.

Other consumer publications of the Federal government include bulletins on household appliances; child care; clothing and fabrics; family finance and credit; food; gardening; health and safety; house and home; and recreation. Bulletins have been prepared to meet the needs of low-income consumers and of older persons. Some of the Federal publications are available in Spanish and in Braille.

In addition to many other national and local radio and TV consumer education programs a "National Food Buyers Quiz" prepared in the U.S. Department of Agriculture was broadcast over 90 educational television stations throughout the Nation on November 17, 1966. Many thousands of consumers participated.

The Federal Trade Commission has included among its investigations: the legality of promotional schemes of retail food stores, practices of marketing milk and bread, and schemes that take unfair advantage of the elderly.

The Food and Drug Administration has strengthened food and drug laws and has alerted the public to such facts as the waste of money in buying vitamin preparations that are not needed. It has developed a staff of consumer specialists throughout the country to assist with its program.

The Bureau of Standards is working with industry and all interested groups on flammability of textiles and apparel, to revise and update standards for testing and to get wider coverage of items. This agency is also reviewing body measurements for sizes of clothing for different age groups.

Focus on the nation's poor families has been achieved through the government's nationwide War on Poverty with its projects on: consumer information and education; home management instruction; and family financial counseling. A fifth of the legal services provided poor families have been concerned with consumer problems. Many low-income families have been assisted to form their own Credit Unions.

Voluntary consumer organizations have become more active. In the summer of 1966, for the first time, 33 national voluntary organizations met together to plan how they could develop greater awareness of consumer problems. Consumer committees from organizations representing churches, labor, education and civic groups have had numerous programs for the information of their own members.

Increasing attention has been given to consumer affairs by the Congress, with consumer committees appointed in the national and in many State congressional bodies. Many Federal consumer interest bills have been introduced in the Senate and the House of Representatives. During 1966, the 89th Congress passed (1) The Fair Packing and Labeling Act which requires clearer and more uniform labeling and designation of package size, as well as other consumer benefits, (2) The Child Protection Act which makes children's toys and other household articles safer, and (3) The Traffic and Highway Safety Acts, leading to safer cars and tires in order to reduce deaths on the highway.

Business and industry have increased their attention to the interests of the consumer. Publications have been developed for consumers on financial management, food purchasing, care of textiles and clothing and other topics. The consumer's demand to be heard was dramatized during 1966 by housewife boycotts in various parts of the country against food chain stores to protest rising food prices. In many cities, the boycott leaders spoke with supermarket operators and leaders in the food industry. Results may be better consumer understanding of the complex market place and more consideration by industry of consumer desires and demands.

An economic study of the food industry was made by a Food Commission appointed by Congress. Conclusions of the report, made in 1966, were that "the food industry is efficient and progressive ... in providing consumers with a varied, abundant and nutritious array of foods at generally reasonable prices." The report suggested a need for consumers to be better-informed buyers of food, and pointed out that potential gains would be greatest for poor families.

Progress has been made in the schools in writing consumer education into the curriculum of all grades for both boys and girls. In adult education, consumer-interest programs have been expanded. They have been adapted to the needs of low-income students as well as those of the middle-income level.

Provisions of the Older American Act of 1965, including creation of the Administration on Aging in the Federal Department of Health, Education, and Welfare, have increased attention to consumer problems of older persons. Government agencies and voluntary groups have published materials directed to this age group, many of them for the purpose of protecting older people against food fads, so-called "health foods," "reducing aids," "cure-alls" and indiscriminate use of various drugs.

Attention has been given to problems concerned with consumer credit. The