36 



foreign governments that help to export products from these other 

 countries. 



When you look at Denmark, the Netherlands, they are exporting 

 approximately 80 percent of their product. Canada is exporting 30 

 percent of their product. Yet, we in the United States only export 

 2.5 percent. 



This really doesn't make much sense when you understand again 

 that we are the low-cost producer. As I stated before, the reason 

 for this is the real aggressive coordination between the producers, 

 exporters, and the governments in other countries. 



The Export Processing Industry Coalition has some specific rec- 

 ommendations to refocus U.S. agricultural trade priorities and pro- 

 motion activities on the dynamic growth of the high-value agricul- 

 tural product markets. And I would like to go through these specif- 

 ics, if I could. 



The administration must identify the urgent need to increase the 

 U.S. share of world trade in the processed and high-value agricul- 

 tural products as a key national priority and ask USDA to spear- 

 head a campaign to double the U.S. share of world trade in value- 

 added agricultural products by the year 2000. 



The multiplier formulas developed by the Economic Research 

 Service to measure the economic benefits of various agricultural ex- 

 ports must be incorporated into the decisionmaking process for al- 

 locating USDA export resources. It is imperative that we measure, 

 compare, and apply the direct and indirect economic benefits of ex- 

 porting value-added agricultural products when making export pol- 

 icy decisions. 



The mission statement of the new International Trade Service 

 Agency must reflect the realities in the global marketplace; empha- 

 sizing products where demand is growing and responding to the ag- 

 gressive growth of competing governments and facilitating exports 

 of these products. These activities should be extended to include 

 competing for the domestic market in the United States for high- 

 value agricultural products. 



The current Commodity Division structure of FAS should be com- 

 plemented by the creation of a World Market Analysis Division. In 

 addition, an Export Coordination Division should be established to 

 facilitate cooperation and support among USDA and non-USDA 

 agencies with responsibility for trade policy and program imple- 

 mentation. Staff and funding for these new units could be drawn 

 from the Agricultural and Trade Analysis Division of ERS. 



The Secretary should establish a Government/Industry Task 

 Force on Agricultural Trade to provide a working partnership be- 

 tween USDA and the private sector on export competitiveness. The 

 task force would identify domestic and foreign market opportuni- 

 ties and develop specific strategies for making U.S. products com- 

 petitive. 



I think it is imperative that we get focused on high-value and 

 value-added exports when we look at U.S. agricultural trade. We 

 must address what is needed in the marketplace, global market 

 trades. 



I think it was mentioned in the panel before, let's produce and 

 market what our consumers want, not force them to buy what we 

 have. 



