GENERAL FARM PROGRAM 353 



continued for tobacco, cotton, wheat, rice, corn, and peanuts, and you 

 recommend that marketing-quota legislation be enacted to add soya 

 beans, flaxseed, dry beans, dry peas, and possibly others. 



The question is, on those commodities, which would be under mar- 

 keting quotas and, when marketing quotas are in effect, what support 

 level will they enjoy? When a commodity is under marketing quotas, 

 what support level will it enjoy? 



Those commodities will be tobacco, cotton, wheat, rice, corn, 

 peanuts, soya beans, flaxseed, dry edible beans, and peas and others. 



Secretary Brannan. On that, we would expect some guidance from 

 the committee. The recommendation is that as to group 1 or priority 

 commodities we try to keep it at the approximate price-support 

 standard. As to the others, they may be at the price-support 

 standard. 



The Chairman. You meant to say minimmn; did you not? 



Secretary Brannan. The maximum of the price-support standard. 

 The price-support standard is in itself a minimum, in our view. 



Mr. Pace. Then you are drawing a distinction between commodi- 

 ties which are under marketing quotas as to those in group 1 and 

 those not in group 1. 



Secretary Brannan. That is right, sii\ 



Mr. Pace. That is very important. 



You propose to support tobacco at 100 percent of the income support 

 standard. 



Secretary Brannan. That is right, 



Mr. Pace. "V\Tiat do you propose to support peanuts at? 



Secretary Brannan. I said this morning that I would expect to 

 support them at somewhere in the neighborhood of where they are 

 being supported now. If the committee wishes to give us some 

 specific guidance on that, that will be satisfactory to us. 



Mr. Pace. As to peanuts, the parity is not only substantially re- 

 duced, about 2 cents or more under your formula, but then you would 

 not give it the same support level as to reducing it to 9 cents. 



Secretary Brannan. That is right. 



Mr. Pace. Then you would not only reduce its parity price but 

 you would reduce its support level as a percentage of parity under the 

 group 1 commodities? 



Secretary Brannan. No, sh\ If you put the commodity in group 1 

 forthwith, it would still be under the recommendations, 9% cents. 



Mr. Pace. That is the way I hope it wiU wind up, but that is not 

 the way you put it. 



Let us take wool and get off peanuts. 



Secretary Brannan. No; let us stay with peanuts. 



Mr. Pace. All right, we wiU stay with peanuts. It is recognized 

 that peanuts are not as great a commodity as wheat or cotton. 



Secretary Brannan. In contributing to the national farm income. 

 That is the only reason- it was left out. 



Mr. Pace. But to those producers of peanuts and wool, Mr. Sec- 

 retary, so far as their economic welfare is concerned, it is just as 

 important as cotton or wheat, particularly when they do not have a 

 cotton allotment or when they do not have a wheat allotment. 



Secretary Brannan. I recognize that. 



Mr. Pace. If we are going back to the family farmer, it is not clear 

 to me that if any commodity, whether it is soya beans or peanuts or 



