Columns

June Column

Jun 01 2006

Yogi Berra had it right – it is deja-vu all over again. It seems like mother nature and history have dealt farm country an all-too familiar hand.

For almost six years now, Kansas has faced significant drought conditions, putting producers in a pinch with minimal yields and dry pastures. The current farm bill provides some help, but year after year we find ourselves resorting to agriculture disaster aid when the regular programs don’t provide the security producers need. And, after almost ten years of negotiations, we’re still trying to pin down an agreement on agriculture policy within the World Trade Organization (WTO).

The only good thing about this perfect storm of high heat and high fuel costs in farm country is that it provides the momentum we need to start talking about the next farm bill. With all of these issues fresh on our minds, we’re in a good position to think constructively and creatively about real policy improvements.

In the meantime, I’m working to make sure producers can stick it out until the next farm bill.

Because of the drought, late last month, I wrote USDA Secretary Johanns a letter requesting emergency haying and grazing of CRP acreage. I was pleased they granted my request not two weeks later. Although 31 counties have this relief, there are an additional 14 counties we will continue to monitor to see that further relief is on its way.

On another front, Japan continues to hang onto an unjustified embargo on American beef. I strongly believe it is time for this to come to an end. We have taken all necessary steps to ensure the safety of American beef, and Japan needs to set a date to resume beef trade.

Japan has to come to terms with the fact that abiding by sound-science standards is the linchpin to any successful international trade agreement. If Japanese officials refuse to commit to uphold this basic principle of free trade, we will have no choice but to introduce new legislation to impose tariffs on Japanese goods. Stay tuned.

With respect to trade talks, our U.S. negotiators are hard at work trying to piece together an agreement in the Doha Round of the WTO negotiations. I am working closely with the Senate Agriculture Committee trade posse to be sure American agriculture gets a good deal.

Without question, the outcome of these negotiations could play a significant role in our next farm bill. Our negotiators have put forth an aggressive proposal, but the United States must not agree to modify our farm programs unless we get increased market access from other countries, especially the European Union. We also must work to achieve reforms to state trading enterprises and to establish clear, uniform sanitary and phytosanitary standards for trade of agriculture and food products.

And while there are some that have proposed we hold off on writing a new farm bill before we finish work in the WTO, I do not think we can afford to wait. Looking at the challenges facing Kansas producers – there are two things I think we should consider:

First, we need to take a look at trying to make sure we are providing assistance in the least trade-distorting ways possible – that is, direct payments. I’d like to see them increased in the next farm bill.

Second, I think we need to take a look at the counter-cyclical program. The current program works great if you have a crop to harvest. However, if you are in an area where you have a major crop failure, which then causes prices to jump, you can end up in a situation where you have no crop to harvest, but you still get no counter-cyclical payment.

This is exactly what happened to Kansas wheat producers after the 2002 Farm Bill was enacted. As you know, we are experiencing several years of severe drought, yet we received no assistance through the counter-cyclical program. And it will probably happen again this year.

In short, we’ve got to talk about practical policy in the next farm bill. It is this kind of commonsense, outside the box thinking that will get us past this season of deja-vu and closer to securing the future of American agriculture.

If you would like to know more about issues before the Senate, please visit my Web site at https://www.roberts.senate.gov . For regular updates, be sure to sign up on my home page for a monthly e-newsletter, The Roberts Report.