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4.S. Congress. House.

HEARINGS

BEFORE THE

4.- APR21

Copy

1966

→COMMITTEE ON AGRICULTURE.

HOUSE OF REPRESENTATIVES

EIGHTY-NINTH CONGRESS

SECOND SESSION

ON

H.R. 12322

CARD EVISION

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KF27
A3

1966f

COMMITTEE ON AGRICULTURE

HAROLD D. COOLEY, North Carolina, Chairman W. R. POAGE, Texas, Vice Chairman

E. C. GATHINGS, Arkansas

JOHN L. MCMILLAN, South Carolina
THOMAS G. ABERNETHY, Mississippi
WATKINS M. ABBITT, Virginia
PAUL C. JONES, Missouri
HARLAN HAGEN, California
FRANK A. STUBBLEFIELD, Kentucky
GRAHAM PURCELL, Texas
JAMES H. MORRISON, Louisiana
ALEC G. OLSON, Minnesota
SPARK M. MATSUNAGA, Hawaii
MASTON O'NEAL, Georgia
THOMAS S. FOLEY, Washington
JOSEPH Y. RESNICK, New York
LYNN E. STALBAUM, Wisconsin
ELIGIO DE LA GARZA, Texas
JOSEPH P. VIGORITO, Pennsylvania
JOHN C. MACKIE, Michigan

ROLLAND REDLIN, North Dakota
BERT BANDSTRA, Iowa
STANLEY L. GREIGG, Iowa
CLAIR A. CALLAN, Nebraska

II

PAUL B. DAGUE, Pennsylvania
PAGE BELCHER, Oklahoma
CHARLES M. TEAGUE, California
ALBERT H. QUIE, Minnesota

MRS. CATHERINE MAY, Washington
RALPH HARVEY, Indiana
PAUL FINDLEY, Illinois
ROBERT DOLE, Kansas
LAURENCE J. BURTON, Utah
PRENTISS WALKER, Mississippi
GEORGE V. HANSEN, Idaho

RESIDENT COMMISSIONER

SANTIAGO POLANCO-ABREU, Puerto Rico

Mrs. CHRISTINE S. GALLAGHER, Clerk
HYDE H. MURRAY, Assistant Clerk
JOHN J. HEIMBURGER, General Counsel
FRANCIS M. LEMAY, Staff Consultant

RVS 8 Je 66

CONGRESSIONALTM

HEARINGS, PRINTS AND REPORTS

CONTENTS

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Funk, Jack, chairman, Cotton Producers Institute Steering Commit-
tee for Lower Rio Grande Valley, Texas..
Giffin, Russell, Fresno, Calif.

124

Girard, Clarence H., Deputy Administrator, Regulatory Programs,
Consumer and Marketing Service, U.S. Department of Agricul-

ture___

Graham, Harry L., legislative representative, National Grange.
Grant, Allan, president, California Farm Bureau, as read by Walter L.
Randolph, vice president, American Farm Bureau Federation__
Hays, J. D., president, Alabama Farm Bureau _ _
Horne, M. K., Jr., chief economist, National Cotton Council
Huddleston, H. H., vice president, Mississippi Farm Bureau

137

113

103

Johnson, Reuben L., director, legislative services, National Farmers
Union___.

Kennedy, J. Russell, executive committee, Cotton Producers Institute_
Lipscomb, Ed, director, sales promotion, National Cotton Council__
Mahon, Hon. George H., a Representative in Congress from the State
of Texas_

Mann, Lon, member, Cotton Producers Institute Steering Committee
for Arkansas__

Munn, Lewis, president, Oklahoma Farm Bureau, as read by Walter L.
Randolph, vice president, American Farm Bureau Federation_ _ _
Randolph, Walter L., vice president, American Farm Bureau Federa-

tion_.

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121

93

123

Shuman, Charles B., president, American Farm Bureau Federation__
York, Clyde M., president, Tennessee Farm Bureau___
Correspondence submitted to the committee-

67, 77

99

Lanier, William L., president, Georgia Farm Bureau Federation, letter
of February 23, 1966.

McAden H. Wesley, executive vice president, American Cotton Com-
press & Warehouse Association, Inc., letter of February 8, 1966.

Schnittker, Hon. John A., Acting Secretary of Agriculture, letter of

February 7, 1966, a report on H.R. 12322 _ .

Stevens, Boswell, president, Mississippi Farm Bureau Federation,
letter of February 4, 1966.

103

III

COTTON RESEARCH AND PROMOTION PROGRAM

TUESDAY, FEBRUARY 8, 1966

HOUSE OF REPRESENTATIVES,
COMMITTEE ON AGRICULTURE,

Washington, D.C.

The committee met, pursuant to notice, at 10:10 a.m., in room 1301, Longworth House Office Building, Washington, D.C., Hon. Harold D. Cooley (chairman) presiding.

Present: Representatives Cooley, Poage, Gathings, Abernethy, Abbitt, Jones of Missouri, Hagen of California, Purcell, O'Neal, Foley, Stalbaum, de la Garza, Vigorito, Redlin, Bandstra, Greigg, Callan, Dague, Teague of California, Quie, Findley, Dole, Burton of Utah, Walker of Mississippi and Polanco-Abreu.

Also present: Martha Hannah, staff; Hyde H. Murray, assistant clerk; John J. Heimburger, counsel; and Francis LeMay, consultant. The CHAIRMAN. The committee will please be in order.

I want to make just a brief statement before we call the first witness. I am certain that all of you know that this committee has been intensely interested in the cotton industry for many years, and for many years prior to January 1, 1953, our programs have operated very successfully and very well. We have maintained the farm income and have stabilized farm prices. Actually, that has been true for the last several years.

Prior to January 1, 1953, the market prices had averaged 100 percent of parity or more. On January 1, 1952, the cotton program alone showed a net profit to the taxpayers of roughly $8 million. The price support programs on all of the basic commodities, through all of the years, showed a net profit of $17 million.

Since that time we have accumulated tremendous surpluses, and we have sustained gigantic losses. The losses in the commodities run to more than $2 billion at the present time, and we are still faced with the problem of dealing with surpluses which we now have on hand. Our farmers have cooperated with the Government in every way possible. We have decreased production.

We have a cotton bill now in operation. We had one just preceding that which proved to be very expensive but which we think revitalized the textile industry of America.

The textile industry is important not only to the farmers but to all segments of the cotton economy. It is very important to my own State of North Carolina. We have more spindles in North Carolina than in any State in the Union. We have more people employed in our textile mills than in any State in the Union, and it is necessary for us to maintain the cotton industry.

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