1202 GENERAL FARM PROGRAM 



Price supports at a lower level will be more effective in controlling 

 production than any form of governmental regulation. This is a 

 world-wide experience. 



Four, we have in this industry the leadership and facilities to 

 improve both the efficiency and quality of production. During the 

 past 20 years, annual average production per layer has increased 

 some 46, and production of poultry meat per pound of feed has 

 increased by at least 25 percent. 



We accomplished this by our own initiative, and most certainly 

 consumers have benefited because of this effort. Such progress 

 would not have been accomplished under rigid production controls. 

 Give us the freedom of action which we enjoyed even during war 

 years when we met every production goal without subsidy, and it is 

 certain that greater efficiencies in production and even greater 

 improvements in quality are gained for both consumers and pro- 

 ducers. We definitely recommend to the Congress that the following 

 basic policies be enacted into law so far as the poultry industry is 

 concerned : 



A. That so-called flexible support prices be established for this 

 industry. Such prices to range between 60 and 90 percent of parity 

 as defined by the Agricultural Act of 1948. We are definitely opposed 

 to title I as a stopgap measure, and we urge that the flexible price 

 policy be enacted into law to be effective January 1, 1950. 



B. To overcome inevitable pressures brought upon the Congress 

 and the United States Department of Agriculture to support our 

 products at the higher level and to eft'ectively administer our recom- 

 mended program, we urge that the actual level of support vary 

 inversely with the attainment of production goals. A table specifying 

 support levels in relation to production can easily be developed in 

 cooperation with the United States Department of Agriculture. 



C. We strongly urge the Congress to establish in such legislation 

 an advisory committee to the Secretary of Agriculture to be consulted 

 before any major changes in policy of support shall be promulgated. 



In conclusion, the Northeastern Poultry Producers Council and 

 other farm organizations everywhere are constantly encouraging our 

 young people to stay on the farm. We, as a Nation, cannot afford to 

 create controlled conditions which most assuredl}^ would not attract 

 young people to the farm and which would kill the incentive of young 

 people to go back to the farm. 



Mr. Pace. Thank you very much, Mr. Rice. 



As I understand it, with regard to the matter at issue before the 

 eommittee, it is your view and the view of those for whom you speak 

 that the production payment method should not be used in maintain- 

 ing support prices? 



Mr. Rice. Yes, sir. 



Mr. Pace. And you think that production can be controlled in good 

 measure by the price level? 



Mr. Rice. Yes, sir. 



Mr. Pace. Have there been such advances in poultry production 

 that even 60 percent would be a price sufficiently attractive to bring 

 about heavy production? 



Mr. Rice. I doubt if there have. 



Mr. Pace. Well, that would be rather important, whether or not 

 the bottom should be 60. Some of the groups would like us to think 



