1132 GENERAL FARM PROGRAM 



Agriculture of tlie general use of production payments in connection 

 with the support price program on all commodities other than the 

 so-called basic commodities. 



Due to the lateness of the session, the subcommittee has given con- 

 sideration to the possibility of delaying consideration of the general 

 authorization of the production-payment plan as to all commodities 

 and instead authorizing what may be called an experimental program 

 or a trial test on selected commodities, selected either by the committee 

 or by the Secretary. While this list is not all-inclusive, and while it 

 does not bind any member of the committee in his interrogation this 

 morning, for the purpose of a beginning the Secretary has been re- 

 quested to testify this morning concerning the matter of the practica- 

 bility and advisability, the effect and the probable cost of using the 

 production-payment plan in the support of the following six commodi- 

 ties: Wool, Irish potatoes, hogs, chickens, eggs, and milk. 



As I have stated, that list is merely suggestive, is not all-inclusive, 

 and does not bind anyone to confine himself to that list. 



The committee is privileged this morning to have with us the 

 Secretary of Agriculture. Mr. Secretary, we will be delighted to hear 

 from you at this time. 



STATEMENT OF HON. CHARLES F. BRANNAN, SECRETARY 

 DEPARTMENT OF AGRICULTURE 



Secretary Brannan. Mr. Chanman, I do not have a prepared 

 statement this morning. I have come prepared as best I could to 

 answer the interrogatories of the committee with respect to the area 

 you discussed with me on the telephone. 



Mr. Pace. Mr. Secretary, I will propound a few questions to open 

 the matter. 



You have, of course, heard the preliminary statement I have just 

 made. 



Mr. Secretary, I am advised that the Senate Committee on Agri- 

 culture had under consideration the use of the production-payment 

 plan with respect to wool at the time they wrote the word "payment" 

 into what is known as the Aiken bill. What are your views with 

 regard to the use of the payment plan on wool as a test of the plan as 

 to its cost and also for the purpose of determining administrative 

 difficulties which may exist in the new program which has not hereto- 

 fore been administered. 



Secretary Brannan. Mr. Chairman, first I would like to state 

 that it is my understanding also that wool was one of the commodities 

 the Senate Committee had before it when it inserted the word "pay- 

 ments in title II of the 1948 act. I think that is also evident from the 

 fact that wool is classified, quite properly, I think, as a storable com- 

 modity and payments in that act are generally applicable only to 

 storable commodities. Under title II, which the exception of potatoes, 

 you practically cannot — or, with very limited exceptions, you cannot — 

 apply the production payment device to the perishables. 



It was obvious that they had in mind applying payments to stor- 

 ables or to perishables that could be converted into storable form or 

 to the extent that a program could be carried out with perishables 

 with postwar funds still available to the Department. That is all 



