Agricultural Policy

1. Agricultural Policy

2. Interconnected Policies • Energy policy • Foreign policy Transportation policy • Agricultural policy Balance of Trade

3. The Duality of Policy • Principles reflecting the Constitution – do not change – although the Supreme Court’s interpretation does • Practices/programs embodying those principles – change all the time • Agriculture – “the science, art, or practice of cultivating the soil, producing crops, and raising livestock and the preparation and marketing of the resulting products” • Agribusiness - term encompassing the various businesses involved in food production, including farming and contract farming, seed supply, agrichemicals, farm machinery, wholesale and distribution, processing, marketing, and retail sales

4. Public Policy Congress Legislative Mandate What is policy? How is policy made and when? How is policy changed and when? Why does policy change? Policy mechanics – structure, processes Paper trail – publications, e-databases Agency Legislation Courts Regulation LAW – PUBLIC POLICY

5. Organization of Behavior in United States • Story of how we have established particular agencies and given them power to regulate – to promote certain types of behavior (e.g. establishing standards) and to penalize unacceptable behavior

6. Organization of Behavior in United States • Story of how we have established particular agencies and given them power to regulate – to promote certain types of behavior (e.g. establishing standards) and to penalize unacceptable behavior • Produce goods and services • Protect against risk • Consumer protection • Environmental protection • Health Care • Promote entrepreneurial activities • Energy • Agriculture • Transportation

7. Organization of Behavior in United States • Story of how we have established particular agencies and given them power to regulate – to promote certain types of behavior (e.g. establishing standards) and to penalize unacceptable behavior • Produce goods and services • Protect against risk • Consumer protection • Environmental protection • Health Care • Promote entrepreneurial activities • Energy • Agriculture • Transportation • Information • statistics, • public records • Assumption of risk

8. Consumer protection (Wikepedia) • Federal Trade Commission • Bureau of Consumer Protection • Consumer Product Safety Commission • Federal Deposit Insurance Corporation • Consumer Finance Protection Bureau • Department of Homeland Security

9. Environmental Protection • Environmental Protection Agency • U.S. Fish and Wildlife Service

10. Promote entrepreneurial activities • Department of Energy • Department of Transportation • Federal Reserve Board • Department of Agriculture • Food and Drug Administration

11. Landscapes – the visible impact of human behavior – structures that attest to the production of a particular commodity or the provision of a particular service Activities Goods Services Structures Legislation Regulation Judicial Opinions Organization of Space Organization of Behavior Landscape Law Public Policy Evaluation Government Role • Indices Evaluation

12. Star Tribune • Food stamp demand rises in Minnesota as budget shrinks (Oct. 28, 2013) • Animal rights group alleges cruelty at Pipestone hog farm(Oct. 28, 2013) • Let's finish a farm bill – together(Oct. 28, 2013) • Milk prices are at stake in 5-year, $500 billion farm bill (Oct. 28, 2013) • Milk prices at issue as Congress set to begin negotiations on food stamps, farm subsidies (Oct. 28, 2013) • Farm bill talks portend next big congressional showdown (Oct. 26, 2013) • In central Minnesota, potatoes are pushing out forest land (Oct. 26, 2013) • Wetlands being lost at frightening pace (Oct. 25, 213) • US trade deficit widens slightly in August to $38.8 billion as exports slip for second month (Oct. 24, 2013) • Nation's corn harvest in many states exceeding expectations; farmers credit rain, cool temps (Oct. 10, 2013) • Minn. farmers get lost in budget standoff; crop policies revert to '49 (Oct. 7, 2013) • Sugar subsidies are sweet, but not for the taxpayer (Oct. 6, 2013) • Crystal Sugar pays off $46.6 million government loan with sugar (Oct. 1, 2013)

13. U.S. Agricultural Policy (Wikipedia) • United State Department of Agriculture • Food and Nutrition • International Food Security • Education and Research • Assisting Rural Communities • Environmental Protection (Conservation) • Environmental Protection Agency • Food and Drug Administration • Office of the United States Trade Representative • Export-Import Bank • A New Agricultural Policy for the United States (www.mnproject.org) • New terms in play • Organic • Sustainability • Genetically modified organisms

14. Standard Industrial Classification • Division A – Agricultural, Forestry and Fishing • Division D - Manufacturing • Major Group 20: Food And Kindred Products • Major Group 26: Paper And Allied Products • Division G – Transportation, Communications … • Division I - Wholesale Trade • Division J - Retail Trade Industries • Major Group 58: Eating And Drinking Places • Major Group 54: Food Stores

16. General Resources • Legislative and Government Relations: Materials on U.S. Agriculture Policy (United States Agricultural Information Network) • Institute for Agriculture and Trade Policy • Agricultural Policy Center (University of Tennessee) • The National Agricultural Law Center (University of Arkansas) • Minnesota Department of Agriculture • University of Minnesota Extension • Minnesota Agricultural Experimental Station • Minnesota Institute for Sustainable Development • Minnesota Statistics (National Agricultural Statistics Service) • Minnesota Farmers Union

17. The United States Department of Agriculture (USDA) • Agricultural Marketing Service (AMS) facilitates the strategic marketing of agricultural products in domestic and international markets while ensuring fair trading practices and promoting a competitive and efficient marketplace • Agricultural Research Service (ARS) USDA's principal in-house research agency • Animal and Plant Health Inspection Service (APHIS) protects and promotes agricultural health by administering the Animal Welfare Act and carrying out wildlife damage management activities • Center for Nutrition Policy and Promotion (CNPP) works to improve the health and well-being of Americans by developing and promoting dietary guidance that links scientific research to the nutrition needs of consumers • Cooperative State Research, Education and Extension Service (CSREES) In partnership with land-grant universities, and other public and private organizations, CREES provides the focus to advance a global system of extramural research, extension, and higher education in the food and agricultural sciences.

18. Economic Research Service (ERS) USDA's principal social science research agency. Each year, ERS communicates research results and socioeconomic indicators via briefings, analyses for policymakers and their staffs, market analysis updates, and major reports • Farm Service Agency (FSA) aids farmers and ranchers as it works to stabilize income through its efforts to conserve resources, provide credit and relieve operations from the effects of disaster • Food and Nutrition Service (FNS) increases food security and reduces hunger in partnership with cooperating organizations by providing children and low-income people access to food, a healthy diet, and nutrition education in a manner that supports American agriculture and inspires public confidence • Food Safety and Inspection Service (FSIS) enhances public health and well-being by protecting the public from foodborne illness and ensuring that the nation's meat, poultry and egg products are safe, wholesome, and correctly packaged

19. Foreign Agricultural Service (FAS) works to improve foreign market access for U.S. products • Forest Service (FS) sustains the health, diversity and productivity of the Nation's forests and grasslands to meet the needs of present and future generations • Grain Inspection, Packers and Stockyards Administration (GIPSA) facilitates the marketing of livestock, poultry, meat, cereals, oilseeds, and related agricultural products. It also promotes fair and competitive trading practices for the overall benefit of consumers and American agriculture • National Agricultural Library (NAL) ensures and enhances access to agricultural information for a better quality of life • National Agricultural Statistics Service (NASS) serves the basic agricultural and rural data needs of the country by providing objective, important and accurate statistical information and services to farmers, ranchers, agribusinesses and public officials

20. Natural Resources Conservation Service (NRCS) provides leadership in a partnership effort to help people conserve, maintain and improve our natural resources and environment • Risk Management Agency (RMA) helps ensure that farmers have the financial tools necessary to manage their agricultural risks. RMA provides coverage through the Federal Crop Insurance Corporation, which promotes national welfare by improving the economic stability of agriculture • Rural Development (RD) helps rural areas to develop and grow by offering Federal assistance that improves quality of life

21. Commodities

22. Minnesota Land Use

23. Census of Agriculture

26. Census of Agriculture • US Agricultural maps (USDA) • Farm Demographics (EPA) • Minnesota Statistical Office (NASS)

27. Farms by Ownership Class

28. Farms by Operating Unit

29. Agricultural Aid to Farmers • Money paid to farmers and agribusinesses to supplement their income, manage the supply of agricultural commodities, and influence the cost and supply of such commodities • wheat  • feed grains - corn, sorghum, barley, oats  • cotton  • milk  • rice  • peanuts  • sugar  • tobacco   • oilseeds such as soybeans Some major issues in House-Senate farm bill negotiations (Star Tribune Oct. 28, 2013)

30. Tobacco Tobacco Master Settlement Agreement (University of Dayton)

31. Legislation

32. Farm Bill (Wikipedia) • Agriculture Reform, Food and Jobs Act of 2013 (Senate Committee on Agriculture, Nutrition & Forestry) • 2008 Farm Bill • Federal Agriculture Reform and Risk Management Act of 2013(House Committee on Agriculture) • Food, Farm and Jobs Bill(USDA) • Farm Bill Resources (Economic Research Service) • Farm Bill (Institute for Agriculture and Trade Policy) • Overview of 2008 Farm Bill (Center for Rural Affairs) • FarmPolicyFacts.org • US Farm Bills (National Agricultural Law Center)

33. 7 USC Agriculture • Grain Standards • Naval Stores • Importation of Adulterated Seeds • Insecticides and Environmental Pesticide Control • Insect Pests Generally • Golden Nematode APHIS Factsheet • Plant Pests • Nursery Stock and Other Plants and Plant Products • Rubber and Other Critical Agricultural Materials • When? Why? Who? How? • Consequences?

34. Cotton Standards • This chapter shall be known by the short title of ''United States Cotton Standards Act.” Mar. 4, 1923, ch. 288, Sec. 1, 42 Stat. 1517. Sec. 56 • The Secretary of Agriculture is authorized to establish from time to time standards for the classification of cotton by which its quality or value may be judged or determined for commercial purposes which shall be known as the official cotton standards of the United States • United States Standards for Cotton Food Quality

35. USDA Risk Management Agency

36. Agricultural Futures • Producers of agricultural commodities are faced with price and production risk over varying periods of time • “natural” events • changes in market forces - global free trade, changes in domestic agricultural policy • Farmers recognize the importance of risk management as part of their production strategies • Reduce risk through the use of the commodity futures exchange markets • Just as car insurance hedges the potential costs of a car accident, agricultural producers can use the commodity futures markets to hedge the risks commodity price volatility • Minneapolis Grain Exchange • And then there are options!

37. 7 USC Agriculture 1-27f • This chapter may be cited as the ''Commodity Exchange Act'' • Originally called "The Grain Futures Act' Sept. 21, 1922, ch. 369, Sec. 1, 42 Stat. 998 • Renamed June 15, 1936, ch. 545, Sec. 1, 49 Stat. 1491 • This chapter superseded act Aug. 24, 1921, ch. 86, 42 Stat. 187, known as ''The Future Trading Act,'' which act was declared unconstitutional, at least in part, in Hill v. Wallace, Ill. 1922, 42 S. Ct. 453, 259 U.S. 44, 66 L. Ed. 822 • Section 3 of that act was found unconstitutional as imposing a penalty in Trusler v. Crooks, Mo. 1926, 46 S. Ct. 165, 269 U.S. 475, 70 L. Ed. 365 • Commodity Futures Trading Commission created in 1974 as an independent agency with the mandate to regulate commodity futures and option markets in the United States

38. 7 USC Agriculture • HONEYBEES. Aug. 31, 1922, ch. 301, Sec. 1, 42 Stat. 833 • COTTON RESEARCH AND PROMOTION • POTATO RESEARCH AND PROMOTION • EGG RESEARCH AND CONSUMER INFORMATION • BEEF RESEARCH AND INFORMATION • PECAN PROMOTION AND RESEARCH • MUSHROOM PROMOTION, RESEARCH, AND CONSUMER INFORMATION • LIME PROMOTION, RESEARCH, AND CONSUMER INFORMATION • SOYBEAN PROMOTION, RESEARCH, AND CONSUMER INFORMATION

43. HASS AVOCADO PROMOTION, RESEARCH, AND INFORMATION ACT of 2000 (Pub. L. 106-387, Sec. 1(a) (title XII, Sec. 1202), Oct. 28, 2000, 114 Stat. 1549; 7 U.S.C. 7801-7813) USDA Program

44. Avocado Promotion • Congressional findings • Hass avocados are an integral food source in the United States that are a valuable and healthy part of the human diet and are enjoyed by millions of persons every year for a multitude of everyday and special occasion • Hass avocados are a significant tree fruit crop grown by many individual producers, but virtually all domestically produced Hass avocados for the commercial market are grown in the State of California. • Hass avocados move in interstate and foreign commerce, and Hass avocados that do not move in interstate or foreign channels of commerce but only in intrastate commerce directly affect interstate commerce in Hass avocados

45. Avocados continued • In recent years, large quantities of Hass avocados have been imported into the United States from other countries • The maintenance and expansion of markets in existence on October 28, 2000, and the development of new or improved markets or uses for Hass avocados are needed to preserve and  strengthen the economic viability  of the domestic Hass avocado industry for the benefit of producers and other persons associated with the producing, marketing, processing, and consuming of Hass avocados • An effective and coordinated program of promotion, research, industry information, and consumer information regarding Hass avocados is necessary for the maintenance, expansion, and development of domestic markets for Hass avocados

46. Commodity Insurance Fact Sheet Avocado California • Marketing Order 915: Florida Avocados (Agricultural Marketing Service) • 7 CFR 944.28 - Avocado Import Grade Regulation. • Avocado Import Requirements (Agricultural Marketing Service) • Mexico-U S Avocado Trade Dispute

47. Food 21 U.S.C. Food and Drugs 21 CFR

48. Food and Drug Administration HHS USDA Food and Nutrition Food Recalls (FSIS) www.foodsafety.gov Food Law Org (Michigan State U) Federal Food Drug & Cosmetic Act 21 USC Sec. 342. Adulterated food.  A food shall be deemed to be adulterated (a) Poisonous, insanitary, etc., ingredients (b) Absence, substitution, or addition of constituents (c) Color additives (d) Confectionery containing alcohol or nonnutritive substance (e) Oleomargarine containing filthy, putrid, etc., matter (f)  Dietary supplement or ingredient: safety (g) Dietary supplement: manufacturing practices 21 USC Sec. 343. Misbranded food 21 USC Sec. 343-1. National uniform nutrition labeling 21 USC Sec. 343-2. Dietary supplement labeling exemptions Food

49. 21 USC • MEATS, AND MEAT AND DAIRY PRODUCTS • POULTRY AND POULTRY PRODUCTS INSPECTION • MEAT INSPECTION • EGG PRODUCTS INSPECTION • FOOD SAFETY • CHAPTER 27—FOOD SAFETY MODERNIZATION

50. 7 CFR Agriculture