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ID-76-44 1 (1976-12-08)

handle is hein.gao/gaobaabpr0001 and id is 1 raw text is: DOCOMENT RESUME 00304 - [A05906341 U.S. Import Restrictions: Alternatives to Present Dairy Programs. ID-76-44; 8-114824. December 8, 1976 54 pp. + 5 appendices. Report to the Congress; by Elmer B. .;taats, Comptroller General. Issue Area: International Economic and Military Programs: U.S. Balance of Trade (602). Contact: International Div. Budget Function: Agriculture (350); International Affairs (150). Organization concerned: Departsent of State; Department of the Treasury; Department of Agriculture; International Trade CoJmmission; office of the Special Representative for Trade .,egotiations. Congressional Relevance: HoLse Committee on Agriculture; House Committee on Appropriations: Agriculture and Related Agencies Subcommittee; Senate Committee on Agriculture and Forestry; Congress. Authority: Steagall Amend nt (15 U.S.C. 713a-8). Agricultural Act of 1949 (63 Stat. 1051). Agricultural Act of 1949 (63 Stat. 1247). Agricultural Marketing Agreement Act of 1937 (50 Stat. 246%. Trade Act of 1974. Agriculture and Ccnsumer Prctection Act of 1973. The need to consider alternatives to the present system of dairy import quotas is discussed. Interrelated programs of price supports, marketing orders, and import guotas have been effective in insuring an adequate supply of d'mestically produced milk and in stabilizing prices for dairy products. The cost of this self-sifficiency and price stability has been higher prices to the consumer and program co3ts to the qovernment. Several alternative courses of ;cticn are available: (1) continued policy of import quotas for dairy products along with the price support program, (2) free trade in dairy products in the United States and abroad, and (3) oper U.S. market policy with no import quotas or price support program. Findings/Conclusions: A system of free trad3 for agricultural products would benefit con,,umers through lower pricas for dairy products. Under a system in which the United States wouiA unilaterally open its market to imports, an Agriculture Department study indicates average consumer savings of about $500 million a year over a 6-year period. Recommendations: viable alternatives or modifications to the present prctective system of dairy import quotas should be analyzed and defined. (RRC,)

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