 |
|
 |
|
|
|
|
|
|
|
|||
News from the Minnesota Association of Wheat |
|||||||||
EDITORIAL BY JOHN CAMPBELL, AG PROCESSING
Corporate Corner The big vote is close at hand. Washington, DC insiders say it is too close to
call. Will they or won't they approve permanent normal trade relations with China? The outcome of the vote will say much more about American than merely our collective view on terms of trade with
China. A yes vote will indicate that the extreme right and extreme left have not taken over the national agenda. It will say that the doctrine of constructive engagement with China is still in tact. It
will say that America still has the ability to lead the world to a more civilized and organized place. It will say that reason and logic trump emotion. A no vote, on the other hand, will signal the beginning of
another era of American isolationism. American ability to lead in the post-cold war period will be in serious jeopardy. While the rest of the world proceeds to take advantage of an American-negotiated and
rules-based trade agreement. America will be stuck with an ever-growing Chinese trade deficit. The interesting question is how did the China vote become such a big deal when it is so clearly in our national
interest? The American economy is humming along at a record-setting pace with participation by people in all income brackets. Is our prosperity blinding us to the means by which we got here? Does our
wealth give us a false sense of security? Does our fear about China lead to a head-in-the-sand reaction – if we ignore them maybe they will go away? China s on the cusp in their economic and political
development. They do not want to sink into the post-communist quagmire of Russia but they do want to bring the advantages of controlled capitalism to China. American and the rest of the world have more
leverage with China today than we have had in the past or will in the future. If Congress rejects China there will never again be a trade deal where China makes all the concessions and we make none.
NAWG PRESIDENT TESTIFIES ON CHINA PNTR Similarly to those testifying on behalf of
U.S. agriculture, Detrick implored Congress to pass China PNTR. He highlighted the overwhelming benefit to opening China's market to U.S. wheat and other agricultural products. "To put it plainly, nothing else on
the horizon could have such a big impact for the short term on U.S. wheat exports and the economic stability of wheat producers, or hold such potential for expanded growth in the future," stated Detrick. Detrick
went on to explain that for U.S. wheat producers to realize the Full potential of the Chinese market, it is absolutely critical that Congress approves legislation to grant China PNTR as soon as possible. "By
granting PNTR, Congress will be giving away nothing to China. At the same time, Congress will be fulfilling one of the unmet promises of the 1996 Freedom to Farm Bill, that of continuing to provide export markets for
U.S. farmers andranchers." Detrick's testimony comes on the second and final day of the agriculture fly-in event. During the two-day event, NAWG partnered with the Wheat Export Trade Education Committee and the
U.S. Custom Harvesters to visit every House of Representatives office in support of China PNTR. NAWG is a nonprofit organization representing U.S. wheat growers whom, by combining their strengths, voices, and ideas
are working to ensure a better wheat industry for today and tomorrow.
SCHAFER PROMOTES IMPORTANCE OF PNTR
, INVITED TO PRESENT HERITAGE FOUNDATION LECTURE BISMARCK - Gov. Ed Schafer is in Washington, D.C., this week to promote the importance of
establishing permanent normal trading relations with China. The House is scheduled to vote on the issue next week. Among many other activities, Schafer will present a Heritage Foundation seminar at 12 noon EST,
tomorrow. He will outline the economic, political and human rights reasons to support permanent normal trade relations for China. "Having had the opportunity to personally visit China and meet with reform
leaders, business owners, blue-collar workers, and religious leaders, I am convinced that this country is moving in the right direction," Schafer said. "The progress will be slow, but it is imperative we
support the economic and social changes that are already taking place." Schafer also underscores the importance of securing a stable trading relationship with the nation that boasts one-fifth of the world's
population. "China is a critical market for the United States," Schafer said. "I am very concerned about the long-term ramifications for U.S. businesses, especially agriculture, if we fail to seize this
opportunity to enhance our trade relationships with China." Virtually all of Schafer's fellow Republican and Democratic governors unanimously support PNTR for China. Schafer and Gov. Gary Locke (D-WA) organized a
letter of support for PNTR that was signed by 47 governors. The Republican Governors' Association, which Schafer chairs, is also on record in support of PNTR. Schafer is the lead RGA governor for trade issues. Schafer
will also participate in a press conference today at 11:30 a.m. at the House Office Building. At 4 p.m., he will join Secretary of Agriculture Dan Glickman to discuss the issue at the American Farm Bureau Federation.
Tomorrow, he joins House GOP leaders for a press conference outlining the importance of PNTR for agriculture. He has meetings scheduled with three Republican House members who are undecided on the issue: Jack Metcalf
(R-WA), Sue Myrick (R-NC) and Jack Kingston (R-GA). CONTACT: Julie Liffrig
US WHEAT CROP CONDITION REPORTS Moreover, sources suggest winter wheat crops are heading, flowering and beginning to fill from the central Plains and into the lower Midwest.
As expected, crops remain in the joint to boot stage in the northern Plains and upper Midwest. Local area agronomists suggest recent frost and freeze events in Nebraska, the Dakotas and Montana have burned back
some new vegetative growth and may have further damaged production potential. Sources suggest US spring wheat and barley crops seeding has advance much more rapidly than usual due to beneficial weather
conditions. Soil moisture has vastly improved in the Dakotas and in Minnesota where production potentials have nearly returned to normal after a dry start to spring. Montana conditions remain suspect at this
point according to local area crop observers, as the growing regions remain drier than usual and improved rains are needed to support normal winter and spring wheat crop development. All indications out of the
Pacific Northwest point to the potential to produce a "favorable" winter wheat crop.
STATE GOVERNMENT SPENDING MORE IN NORTH DAKOTA
THE MARKET ADVISOR: USDA'S PROJECTIONS BODE BETTER FOR WHEAT
THAN CORN, SOYBEANS By George Flaskerud, Extension Crops Economist USDA analysts are predicting a higher overall wheat price but
lower prices for corn and soybeans for the 2000-2001 marketing year, which begins June 1 for wheat and Sept. 1 for corn and soybeans. These projections are included in USDA's latest Supply and Demand report. The
outlook for wheat is a smaller crop, increased use and lower ending stocks. Finish the article at By Rich Zollinger Crops: Barley and oat, early burndown weed control Comments: Label expanded to include barley and oat expected. Aim has a label for preplant burndown and fallow prior to planting
field corn, soybean and wheat with no planting interval restrictions since these crops are labeled and have established tolerances. Aim can also be used on fallow which includes CRP. The only recommendation for CRP is
to be cautious if there is an emerged legume in the CRP which could be damaged from the Aim. Aim + Roundup enhances the speed of activity, and adds control of weeds susceptible to Aim like kochia, lambsquarter and
pigweed. Aim may provide partial control of wild buckwheat and Russian thistle. Crops such as sunflower that do not have an Aim tolerance must be planted30 days or more after application of Aim.
APHID CONTROL
APPLY FUNGICIDES Check out the following for more informationApplying Fungicides More Effectively to Control Scabhttp://www.ext.nodak.edu/extpubs/ageng/machine/ae1148w.htm
NATIONAL ASSOCIATION OF WHEAT GROWERS
REPORT FROM WASHINGTON NAWG ON THE GO AGRICULTURE UNITES ON CHINA PNTR In addition to their Hill visits, growers also participated in a briefing by USDA Secretary Dan Glickman and a breakfast with USTR Charlene Barshefsky. Both
Secretary Glickman and USTR Barshefsky have acknowledged agriculture's beneficial role in helping to communicate to lawmakers the importance of China PNTR. NAWG officers also attended a press briefing on Tuesday, with
House Agriculture Chairman Larry Combest (R-Texas) and Ranking Member Charlie Stenholm (D-Texas). U.S. Wheat Associates and The Wheat Export Trade Education Committee (WETEC) Chairman Christopher Shaffer spoke at the
briefing on behalf of wheat growers in their unified support of China PNTR. On Wednesday, several NAWG members attended a similar event with House Speaker Dennis Hastert (R-Illinois). Commenting on this two-day event,
NAWG President Terry Detrick stated, "We are extremely pleased with the significant amount of participants the wheat growers had. I believe that we were the only agriculture organization that visited every House
office. This effort was really needed and we hope to have made enough of an impact with lawmakers on the need to pass China PNTR." NAWG PRESIDENT TESTIFIES ON CHINA PNTR Similarly to those testifying on behalf of U.S. agriculture, Detrick implored Congress to pass China PNTR. He
highlighted the overwhelming benefit to opening China's market to U.S. wheat and other agricultural products. "To put it plainly, nothing else on the horizon could have such a big impact for the short term on U.S.
wheat exports and the economic stability of wheat producers, or hold such potential for expanded growth in the future," stated Detrick. Detrick went on to explain that for U.S. wheat producers to realize the full
potential of the Chinese market, it is absolutely critical that Congress approves legislation to grant China PNTR as soon as possible. "By granting PNTR, Congress will be giving away nothing to China. At the same
time, Congress will be fulfilling one of the unmet promises of the 1996 Freedom to Farm Bill, that of continuing to provide export markets for U.S. farmers and ranchers." NAWG PRESIDENT AND CEO JOIN
PRESIDENTIAL SIGNING Most notably, for wheat growers, the Act allows for a permanent Special Negotiator for
Agriculture at USTR. NAWG has long supported making this a permanent position. Trade with Africa only represents 1 percent of the U.S.' total world trade. However, it is hoped that AGOA will help to promote reforms in
Africa in order to increase investments and expand economic growth. Additionally, the Act will expand the Generalized System of Preferences (GSP) to give duty free status to almost all exports into the U.S. from
sub-Saharan Africa. In addition to expanding trade to nations of the Caribbean Basin, CBTPA will help offset the monies lost in the region due to hurricanes Mitch and George in 1998. A PUSH TO FREEZE CAFE STANDARDS
NAWG, U.S. Custom Harvesters, WETEC
and other agricultural organizations, have written a letter to every member of the House of Representatives expressing support for retaining the freeze. The letter cited a statistic by the National Academy of Sciences
that has found "that raising CAFE standards by 3-5 mph could increase the price of a full-size pickup by nearly $3,000 - far more than any cost savings at the pump." NAWG will continue to push for freezing the
current level of CAFE standards. THIS WEEK ON CAPITOL HILL APPROPRIATIONS LOGJAM Most
other Democrats disagree with Lott as well. Senate Minority Leader Tom Daschle (D-South Dakota) called the management of the Senate floor by Republican leaders as an attempt to "gag" the Minority's right to
debate. Regardless of who is to blame, the controversy resulted in very little legislative action occurring in the Senate this past week. Lott has indicated that the Senate will pick up its delayed schedule on Monday
when it considers a handful of judicial nominations followed by the agriculture spending measure. On the other side of the Capitol, House leaders postponed the scheduled Rules Committee meeting on the agriculture
sanctions measure until Monday of next week. The powerful Rules Committee determines when and how bills are to be considered on the floor of the House. Like the Senate bill, the House measure contains legislative
provisions that would exempt food and medicine from unilateral U.S. sanctions. The measure, while supported by a majority of House members, is opposed by a number of key lawmakers who used their influence to delay the
Committee's debate on the measure. CROP INSURANCE/ASSISTANCE PACKAGE UPDATE Included in the report will be the agriculture assistance package
authorized by the Congressional Budget Resolution last month. The Resolution sets aside $7.1 billion for agriculture in addition to the amount contained in the annual appropriations bill. Work will continue over the
weekend to hammer out the details of the package before Monday's meeting. NAWG has outlined its priorities for the package and is working with members to ensure that both a payment equal to the 1999 level of assistance
and an LDP or its equivalent for grazed out wheat are included. Both the House and Senate are expected to take up and pass the measure immediately following the conclusion of the conference. TRADE NEWS FROM WETEC
UPDATE ON CHINA PNTR Preparations for the vote on China PNTR has rounded the final turn and are making their way down the home stretch. This week included a bevy of activity including hearings, the agricultural
fly-in, committee mark ups, and announcements from both proponents and opponents of the trade deal. The vote is likely to take place next Wednesday, but could occur sometime Thursday depending on debate time and when
enough yes votes have been garnered. While momentum has shifted back and forth over the last couple of months, this week it was solidly behind the bills' supporters. The Senate Finance Committee and the House
Committee on Ways and Means voted overwhelmingly in support of the measure. The vote in the Senate Finance Committee, conducted early Wednesday, was recorded as 18 in favor to 1 against. Only Senator Jeffords
(R-Vermont) voted against granting China PNTR status. The Ways and Means Committee, later that day, provided a similarly sound victory with a vote of 34 to 4. The House version of the China trade bill includes several
additional provisions pulled from proposed parallel legislation authored by Congressmen Sander Levin (D-Michigan) and Doug Bereuter (R-Nebraska). One of the additional provisions would write into U.S. law anti-surge
protections that the United States Trade Representative (USTR) successfully negotiated with China last fall. The provision would protect U.S. industries from surges in imports from China once they have joined the World
Trade Organization (WTO). The bill would also allow for the establishment of a joint committee to oversee China's human rights record. Additionally, it includes a resolution of support for Taiwan's entry into the WTO
and calls for increased scrutiny of China's trade practices through the WTO. The Senate version will not contain the Levin-Bereuter provisions. The vote count has also shifted in favor of those supporting PNTR. A
survey by Congress Daily indicates 182 will vote 'yes' or are 'leaning yes' while 162 oppose the measure or are 'leaning no'. This leaves 91 members undecided or not ready to announce. This is a swing from last
week when those against or leaning against out numbered those in favor or leaning in favor. This change comes on the heals of the agricultural fly-in that took place this week (May 16-17). Over 50 growers representing
14 states delivered their pro-PNTR to every House members office. Eight wheat delegations split up to deliver personalized letters and information regarding the benefits of PNTR to each Congressman. The magic number for
passage is 218 and supporters are busy trying to nail down every last vote possible. Proponents on the Hill and in the Administration remain cautiously optimistic about the final tally. Federal Reserve Chairman Alan
Greenspan made a rare endorsement of Clinton Administration policy as he came out publicly this week in favor of PNTR for China, stating that a 'yes' vote is in the nations best interest. Expected Republican
Presidential nominee George W. Bush also endorsed the measure and encouraged the Congress to vote for China trade. FUTURE CALENDAR OF EVENTS
THURSDAY - May 25 FRIDAY - May 26 NAWG FUTURE EVENTS ### "Report from Washington" Published weekly by Web site: |
|||||||||
 |
|||||||||
 |
|||||||||