i'74: GENERAL FARM PROGRAM 



Mr. Andresen. Will there be a reduction in the acreage and 

 production of cotton under that program? 



Secretary Brannan. It is recommended to be retained in the 

 program that I have just suggested. 



Nothing new has been added to the recommendations. You now 

 have the authority on the statute books to put acreage limitations or 

 marketing agreements on cotton and, as a matter of fact, this very 

 Congress, at least the House side, has already made money available 

 to us to make the necessary studies to submit that question to the 

 cotton producers of the country. 



Mr. Andresen. But you are recommending that a cotton farmer 

 be permitted to raise 180 bales of cotton. 



Secretary Brannan. Wait a minute. Let us get that limitation on 

 the application of price supports off in a separate category. 



I think it has no bearing whatsoever on costs here and now. 



Mr. Andresen. Does it have any bearing on loans. If a farmer 

 should raise more than 180 bales, will he be eligible for price supports 

 or loans under the support price program? 



Secretary Brannan. He would be eligible for a price support, a loan 

 or a purchase agreement, up to the level of the number of bales which 

 are set forth in the formula. 



Mr. Albert. Mr. Chairman, will the gentleman yield right there? 



Mr. Andresen. Just let me finish this thought. Then if he raises 

 1,000 bales, he would only be eligible for alotin under the support price 

 program for 180 bales; is that right? 



Secretary Brannan. Yes, at 180 bales if the exact suggestions were 

 followed up that are in the statement. 



Mr. Albert. Will the gentleman yield? 



Mr. Andresen. Yes, I will yield. 



■ Mr. Albert. Mr. Secretary, is it not a fact that the 1,800 units, 

 which would be equivalent to 180 bales of cotton, would include all of 

 the crops of the farmer? It might not give every cotton farmer 180 

 bales? 



Secretary Brannan. It would pertain to all the crops which are 

 under support. 



Mr. Albert. So you could adjust cotton down on any particular 

 farm and make adjustments on some other crop. 



You are not giving a blank check to every farmer to grow 180 bales 

 of cotton? 



Secretary Brannan. That is correct, Mr. Albert. He could grow 

 all sorts of things outside of the support program. If he wants to 

 grow watermelons and market them for $100,000, it is not touched by 

 the support program. 



Mr. Albert. But it may include any number of basic and perishable 

 crops to add up to the total in the support program? 



Secretary Brannan. That is correct, sir. 



Mr. Andresen. That is recognized and there is no disagreement on 

 that. 



Assuming he is only entitled to a support loan for 180 bales, what 

 happens to his other 820 bales. 



Secretary Brannan. They would seek their price in the market 

 place. He might sell them for more than the support loan, as he would 

 have if this had been in force and effect the last 7 or 8 years. He 

 would have sold tlxem into the market place at more than the support 

 level. 



