405 



Unless the funds whicli you give them, the grants wliicli you make, 

 the money which you finance, is strictly controlled and subject to being 

 cut off if it is utilized wrongly, I do not really sec how you can 

 accomplish what we think is a very important control. 



Mr. Waters. I am not sure that I can fully answer you on the con- 

 trol except with the influence we have used on getting Korea to change 

 its internal policies for greater emphasis on improved food distribu- 

 tion and food consumption levels within their own country. 



I went over, with their Health Minister and their Education Min- 

 istry, their timetable and schedule for phasing out food assistance from 

 the United States which calls for a greatly stepped up use of their own 

 fish resources for their country. They are going to have to do more 

 fishing on their own offshore areas to be able to do this. I do not think 

 it is going to be economically feasible for them to explore the world to 

 bring fish back to Korea. 



It is going to be more of their own resources they have to use. The 

 same problem is a general problem in the development of these coun- 

 tries around the world. I think we had the same concern with the 

 Marshall plan days of Europe and other countries, and yet the statistics 

 of trade in the world have shown that trade has expanded as the living 

 standards of these countries have gone up. 



Our general share of trade has expanded with it. We do more com- 

 mercial business with Japan, Taiwan, Israel, and many of the coun- 

 tries graduated out of aid. While they now stand on their own feet 

 and produce more for themselves, they are also buying more from the 

 United States. 



Mr. Pollock. I do not think there is any question about this, Mr. 

 Waters. I think here we have a little different situation. Here we are 

 trying to develop an entirely new industry, entirely new product — 

 fish protein concentrate. 



It would seem to me useful to take our fishing areas in this country 

 and take some of this money to build plants here to develop this in- 

 dustry. This would help the fishermen, our economies, develop the 

 product and make that available to these people instead of having them 

 compete with us on every level in this one regard. 



Mr. Waters. I am not sure that we ever could develop a fully com- 

 mercial market in the world for fish protein concentrate food products 

 made in the United States and moved around the world. It depends 

 on the end product. The end product is going to have to be tailored 

 to each country. Whatever they now normally eat, we must develop a 

 product built around that containing fish protein concentrate. They 

 are going to want to get it from their lowest cost available source. That 

 is going to be out of their own fishing facilities. 



I do not question at all the potential for fish concentrate blended 

 within the United States or within our normal marketing of food 

 products around the world. It is not going to be fish protein concentrate 

 people are going to eat; it is a product made from fish protein con- 

 centrate, a supplement. The product has to be really designed to fit the 

 local tastes and local needs. 



In the Latin America areas we have more acceptance for corn-based 

 products. For the countries in the Far East, we may need a food prod- 

 uct that is a mixture with rice, something of that nature. This is a 



