51 



ing plans and allocate funding on schedule. A better use should be 

 made of regional trade groups such as SUSTA, MIATCO, 

 WUSATA, EUSAFEC. They all represent regional trade groups of 

 NASDA and their State members for distributing and managing 

 export programs for small to midsize companies. 



Staff the overseas offices which provide on-site export assistance 

 with personnel better trained in business, marketing, and econom- 

 ics, and with a better understanding of the agricultural industry 

 they serve. A lot of what I am saying has been already mentioned 

 prior to today, and I am glad that we are all thinking along the 

 same lines. 



These offices must have and be able to provide accurate assess- 

 ments of potential markets and provide the market reports, 

 consumer preference studies and so on, necessary to match prod- 

 ucts to markets. Establish a rapid response unit within USDA that 

 combines expertise from AMS, APHIS, and FIS. 



Also, lending institutions must be able to serve all off-farm agri- 

 cultural infrastructures and buyers of agricultural products. We 

 must have streamlined, clarified, simplified, user-friendly financial 

 programs backed by dynamic fully funded Federal trade financing 

 programs. Current programs to encourage corporate investment in 

 foreign markets should be strengthened. 



Simplify U.S. grading, inspection, and regulatory programs so 

 that sanitary and phytosanitary requirements do not artificially 

 prohibit the movement of agricultural products into export markets 

 when there is no health or safety issue. Improve interagency co- 

 operation right here at home by establishing agricultural liaisons 

 between USDA and the Departments of Commerce, State, Labor, 

 Interior, Treasury, GAO, and the White House. 



NASDA would also support the establishment of an interagency 

 working group, including both production and processing indus- 

 tries, to focus on export market development and prepare a global 

 strategy for funding, financing, and matching products to market 

 needs. 



Over the years, agriculture has been the only industry to main- 

 tain a positive position in our Nation's balance of payments. With 

 about one-third of our harvested cropland producing for export, a 

 long-term strategy is critical to planning and marketing decisions. 



As mentioned earlier, U.S. agricultural exports was $42.5 billion 

 in fiscal 1993. This is a total that must continue to grow if Amer- 

 ican agricultural is to survive and maintain its place in the world 

 market. Government agricultural policies must be based on a 

 sound knowledge of global markets and lay a foundation that will 

 support the United States in these markets. 



Mr. Chairman, I certainly appreciate the opportunity to come be- 

 fore you today. And my associate will answer any questions. Again, 

 thank you very much. 



[The prepared statement of Mr. Brown appears at the conclusion 

 of the hearing.] 



Mr. Penny. No problem. Thank you. We appreciate your testi- 

 mony. Next, Mr. Barr. 



