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ASA Urges Continuation of Oilseed Payment Program for 2000

May 08, 2000

The American Soybean Association (ASA), the National Sunflower Association (NSA), and the U.S. Canola Association (USCA) are urging the U.S. House and Senate Agriculture Committees to authorize an oilseed payment program for 2000-crop oilseeds, similar to the oilseed payment program approved last year.

"U.S. soybean and other oilseed producers continue to suffer from low prices," said ASA President Marc Curtis, a soybean, corn, rice, wheat and milo producer from Leland, Miss. "Continuation of the oilseed payment program for 2000 is needed to provide important relief from low crop prices."

Payments under the program for 1999 oilseed crops will be about 14 cents per bushel for soybeans and 25 cents per hundredweight for other oilseeds.

ASA and the other organizations strongly support providing additional economic loss assistance through a program similar to the oilseed payment program established for 1999 crops. The amount of assistance should be no less than the $475 million provided for 1999 crops in the FY-2000 Agriculture Appropriations legislation. The Agriculture Committees are being urged to include the payment program as part of the $1.64 billion in new budget authority and outlays for Specialty Crops provided in the Reserve Fund in the FY-2001 Budget Resolution. Additionally, approximately $5.5 billion has been provided in the FY-2001 Budget Resolution to make economic loss payments to producers of program crops, a level similar to last year.

The groups are urging the committees to use the existing 1999 oilseed payment program framework with the addition of allowing 1999 certified acreage and proven yields as an alternative to either 1997 or 1998 production data for determining payments to producers who plant oilseeds in 2000.

A joint letter from ASA, NSA, and USCA to the Chairmen and Ranking Minority Members of the Agriculture Committees said, "Our organizations continue to work to expand domestic and foreign markets for our crops in order to increase demand and raise prices and oilseed producer income. We greatly appreciate the interest and support of your Committees to maintain an adequate safety net for U.S. oilseed producers."