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6) As markets evolve, the products demanded will be more selectively 

 defined. Value-added will permeate the bulk as well as high value 

 product lines. Contract specification and enforcement will become 

 greater issues. 



7) U.S. agriculture and agribusiness will need to establish a presence in 

 markets where its competitors have a much longer history and in many 

 cases well established commodity identities. Establishing the linkage 

 between desired product characteristics and the U.S. label is crucial 

 to market success. 



8) About two-thirds of the population (about 2.5 billion people) that will 

 be integrated into this global marketplace reside in regions of the 

 world that account for only about 15 percent of the world's economic 

 activity. And as the world's population doubles by the middle of the 

 21st century (going from five billion to 10 billion people) 90 percent 

 of the population growth will occur in those regions. As we seek to 

 make agriculture more responsive to market signals we should not 

 forget that these people do not have the dollars to send signals. In 

 both domestic and foreign markets, there must be mechanisms that 

 allow those who cannot send market signals to be recognized. 



The conclusion from all of these observations is that the future marketplace 

 structure is very uncertain. The focus will be on flexibility not rigid programs. 

 If you combine this extreme uncertainty with the absolute certainty of the budget 

 and deficit reduction reality in this country, one conclusion is clear. It is 

 absolutely essential to maintain the full complement of export and food program 

 initiatives if agriculture is to be a growth industry in the future and the U.S. is to 

 meet its market and humanitarian commitments in both the domestic and emerging 

 global markets. Agriculture can be competitive in the marketplace as long as 

 government policies are also competitive with those of the competition. 



(Attachment follows:) 



