14 



Mr. Emerson. And I would note that we have — my statement is 

 directed largely to the aflatoxin problem that we are suffering in 

 my region of the country. I wanted to ask how will quality loss — 

 what effect will that have on disaster pa3rments for producers with 

 aflatoxin contamination? 



Mr. Weber. We will treat aflatoxin as we have in the past, that 

 if it exceeds the FDA level, we will zero that production out, pro- 

 vided the producer destroys the production. 



Mr. Emerson. What type of grade or quality discounts are allow- 

 able for producers taking contaminated com to an elevator or a 

 port? 



Mr. Weber. We have, speaking of corn, for instance, we have a 

 chart, a basic chart to go by which says that if you have No. 4 corn, 

 that it would be a 10 percent discount for quality. 



If it is No. 5, I believe it is 20 percent. And if it is sample, it 

 is 40 percent. 



But then we have a further adjustment that says if the producer 

 can bring in evidence to show that he has sold the crop for a dis- 

 count to the normal market of greater than those values, we will 

 use that reduction instead. 



Mr. Emerson. Thank you. 



Thank you, Mr. Chairman. 



Mr. Johnson. The gentleman from Minnesota, Mr. Peterson. 



Mr. Peterson. Thank you, Mr. Chairman. 



Mr. Weber, I just got a call from my State ASCS director who 

 thinks that there is going to be a new quality adjustment on wheat 

 coming out today. 



Is that true? 



Mr. Weber. Yes. 



Mr. Peterson. Can you tell me what it is? 



Mr. Weber. Basically what I just said to Mr. Emerson, as far as 

 getting away from the complicated formula that we had and just 

 basically looking at a standard price compared to the price received 

 by the producer. 



Mr. Peterson. So that is going to be announced today? 



Mr. Weber. Yes. 



Mr. Peterson. Thank you. 



Last week I introduced an amendment to try to deal with this 

 situation that we keep hearing about, that the Canadians are 

 dumping their damaged wheat into our market. They have, as I 

 understand it, a worse vomitoxin problem in Manitoba, Saskatche- 

 wan, than we do. 



Do you know anything about this, whether that is, in fact, hap- 

 pening? 



Mr. Weber. I personally do not know. Certainly there is the ex- 

 pectation that they are having a vomitoxin problem such as we are. 



We are looking at that amendment that you have introduced and 

 are evaluating that right now. 



Mr. Peterson. Mr. Chairman, I introduced that bill this morning 

 on the floor of the House, and I would hope that we could consider 

 that. 



I have been looking into this a little bit more, and it just seems 

 to be kind of a crazy policy to inspect all of the wheat that we ex- 

 port to other countries, but not pay any attention to what is coming 



