COMMODITY PROGRAMS Information on foreign market requirements for specific commodities is obtained, analyzed, and made available to farm and trade groups as is information on production, trade, prices, etc. A continuous program is carried on to maintain and expand the market abroad for U.S. farm products. This program includes developing and supervising commodity market development projects. Assistance is rendered to domestic trade representatives in negotiations with foreign government officials, importers, and consumers and bringing together American exporters and foreign importers under conditions favorable to trade. BARTER AND STOCKPILING The Service, in cooperation with other Government agencies, conducts a barter program designed to utilize surplus agricultural commodities, in lieu of dollars, in acquiring from other countries, goods, materials, and equipment · required by other Government agencies and for the national and supplemental stockpiles. This work is financed from funds transferred from "Administrative expenses, Commodity Credit Corporation." GENERAL SALES MANAGEMENT The Service conducts a general sales management program to develop dollar export sales for Government-owned surplus agricultural commodities and pricing policies and programs for sales for export including sales for credit. The program also includes price and quality review for commodities sold under Public Law 480. Foreign data such as prices and stocks and rail, truck, barge, and ocean freight rates and other market information is collected and recorded for use in program development. Information concerning prices and other sales terms, sales programs, and commodity availabilities is furnished to U.S. exporters, foreign importers, and foreign government officials. This work is financed with funds transferred from "Administrative expenses, Commodity Credit Corporation." ASSISTANCE TO INTERNATIONAL AGRICULTURAL DEVELOPMENT SERVICE FAS provides management services to the International Agricultural Development Service pursuant to Secretary's memo 1541, supplement 1, dated August 2, 1963. That Service administers the Department's participation in the agricultural phases of the foreign economic assistance programs. This is financed from funds transferred from the Agency for International Development. AVAILABLE FUNDS AND MAN-YEARS Mr. WHITTEN. Next we shall insert the material on page 157, "Available Funds and Man-Years." (The page follows:) NOTE.-The above tabulation and the following schedules include, in addition to the appropriation and 1 Ocean transportation was financed in 1964 with funds transferred from "Expenses ASCS" but in 1965 and 1966 are being financed from, CCC funds. The full year cost is shown in 1964 for comparability. Foreign donations was financed in 1964 with sec. 32 funds but in 1965 and 1966 are being financed from the administrative expense limitation, CCC. The full year cost is shown in 1964 for comparability. SALARIES AND EXPENSES (SPECIAL FOREIGN CURRENCY PROGRAM) (NOTE. The budget estimates do not propose an appropriation for 1966. The following statement, on a funds available basis, reflects the use of unobligated balances carried over from prior years :) This item covers market development projects financed from "excess" currencies. These are currencies owned by the United States which are in excess of the anticipated needs of the U.S. Government for the next 2 or 3 years. Funds for the purchase of foreign currencies for market development activities in other countries are provided under the appropriation "Salaries and expenses, Foreign Agricultural Service." Mr. WHITTEN. We have two items in this Service, "Salaries and expenses," and "Salaries and expenses (special foreign currency program)." We are also pleased to have with us Mr. Ioanes and members of his staff. Proceed in any way you like, Mr. Ioanes. Mr. IOANES. Thank you very much, Mr. Chairman and gentlemen. I have a statement here I would like to go through. Mr. WHITTEN. We will be glad to have you proceed. GENERAL STATEMENT Mr. IOANES. The primary function of the Foreign Agricultural Service is to help American agriculture maintain and expand foreign markets for its products. Foreign markets for our farm products are now at extraordinarily high levels, $6 billion a year. We have made spectacular gains in our commercial exports for dollars, an increase of 40 percent since 1960. One out of every four acres of U.S. cropland is producing for export. Our exports of farm products are equal to those of Canada, Australia, and Argentina combined. CONTRIBUTION OF AGRICULTURAL EXPORTS TO BALANCE OF PAYMENTS Mr. WHITTEN. I do not mean to interrupt except that I would like to have, at this point, information showing to what extent our agricultural exports contribute to our balance of payments. Mr. IOANES. We will be glad to supply that. (The requested information follows:) AGRICULTURE'S CONTRIBUTION TO BALANCE OF PAYMENTS In calendar year 1964, nearly $5 billion worth of U.S. agricultural exports contributed to maintaining our balance of payments. The comparable figure for U.S. industrial exports was $17.3 billion. Agriculture has been making particularly strong gains in expanding exports that improve our international account. Mr. IOANES. Credit for these new exports records needs to be shared three ways by our trade and agricultural people who are taking advantage of economic growth abroad and aggressively promoting |