83 



Mr. Chairmen and Members of the Subcommittees: 



I am pleased to be here today to testify before these 

 SubconuT.ittees on the operation of the Foreign Agricultural 

 Service (FAS) of the U.S. Department of Agriculture (USDA), 

 including its management of export promotion and assistance 

 programs, its use of resources in reporting on agricultural 

 developments overseas, and its strategic planning. FAS 

 administers a variety of programs to promote the sale of U.S. 

 agricultural products overseas. FAS also reports on agricultural 

 developments abroad, acts to reduce barriers to U.S. exports, and 

 conducts various market development activities. 



NEED TO IMPROVE 

 MANAGEMENT OF PROGRAMS 



FAS manages about $10 billion a year in agricultural export 

 programs. These programs are designed to increase U.S. 

 agricultural exports by maintaining and developing foreign 

 markets for U.S. agricultural products. These programs include 

 the Export Credit Guarantee programs; the Market Promotion and 

 Foreign Market Development (Cooperator) programs; the Export 

 Enhancement Program; and title I of Public Law 480. 



The current tight budget environment and the substantial 

 resources devoted to agricultural export programs make good 

 management of these programs critical. In the past, we have 

 testified before Congress concerning the weaknesses in these 

 programs and have urged greater management controls. While 

 improvements have been made, we continue to have concerns about 

 management weaknesses that diminish the efficiency and 

 effectiveness of FAS programs. Better management of these 

 programs would improve the return on taxpayer funds. 



