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USDA urged to buy surplus potatoes
BY: BEURMOND BANVILLE OF THE NEWS
STAFF
Maine's congressional delegation has asked the
U.S. Department of Agriculture to buy potatoes from
the country's excess supply and use them in school
lunch and other federal nutrition programs.
It's been a very bad year for potato growers
across the country, and Maine growers of table stock
potatoes are among the hardest-hit, according to
industry sources in northern Maine.
U.S. Sens. Susan Collins and Olympia Snowe and
U.S. Rep. Michael Michaud have joined a bipartisan
group from the U.S. Congress to ask for the
so-called "bonus buy" of excess potatoes in Maine
and across the country.
The USDA annually buys potato products for school
and other programs. The request is for more
purchases than usual.
Potato growers - especially in Maine, where they
have faced not only an oversupply of potatoes but
also storage problems - are being left with large
amounts of potatoes in storage, and the new planting
season is only weeks away.
"USDA purchases of potatoes and potato products
for the [National] School Lunch Program and other
federal nutrition programs have been effective in
easing oversupply, stabilizing prices and making
more potatoes available to the consumers who utilize
these programs," Collins wrote this week in a letter
to the U.S. secretary of agriculture.
"This year has been absolutely miserable for
growers of open-market potatoes," Don Flannery,
Maine Potato Board executive director, said
Wednesday afternoon. "It's just been terrible - and
not just in Maine but across the industry.
"Demand has not been there," he said. "There were
just no sales."
According to Collins, American potato growers are
facing a negative trade balance for potatoes and
potato products for the first time in U.S. history.
The problems are made worse by declining demands in
this country and expanding potato production and
exports from Canada.
Potato imports grew by 39 percent in volume and
25 percent in value between 2001 and 2002, Collins
stated in a press release.
This season, according to North American Potato
Market News, an industry newsletter published in
Idaho, exports of fresh U.S. potatoes have dropped
by 20 percent since last year. Dehydrated potato
exports have dropped 117 percent, and chip potatoes
have dropped 43 percent for an overall drop in
potato exports of nearly 32 percent. None of the
U.S. potato shipping points has yet reached the
amount of shipments made in 2003.
In Maine, shipments of fresh potatoes are down
nearly 26 percent since last year. Last year, Maine
growers shipped 109,000 hundredweight of potatoes.
As of April 17, only 81,000 hundredweight have been
shipped.
So far this winter and spring, Maine growers have
dumped 770,000 hundredweight of potatoes to be
freeze-dried on fields. They have received $750,000
from USDA programs, and Flannery expects another
$350,000 will come.
"They [USDA] have made a commitment to pay the
entire amount for potatoes that were dumped," he
said.
He also expects some state money to come from
Augusta. Flannery spent the early part of the week
in Augusta, and expects word soon on a state program
to help potato growers.
"We will get something from the state - I'm not
sure how much," he said. "We were supposed to know
yesterday [Tuesday]."
Flannery suspects that Maine's acreage will drop
this growing season by 3,000 acres, down to 63,000
from last year's 66,000 acres.
He also expects that a few growers will leave the
industry, though he doesn't expect the number to be
high.
"We just hate to lose anyone," he said." |