Posted from the Institute for Agriculture and Trade Policy (IATP) -----Original Message----- From: Mark Muller [SMTP:[log in to unmask]] FOR IMMEDIATE RELEASE WASHINGTON, D.C., March 18, 1999 - The American Farm Bureau Federation told a congressional panel today that significant funding must be provided soon to finance major renovations of the inland waterway system as a means for U.S. farmers to remain competitive. "We cannot afford to wait. We cannot afford to fall behind and lose markets that we have worked so hard to gain," said AFBF board member and Minnesota Farm Bureau President Al Christopherson. "One of the most important things Congress can do to help farmers is to provide a low-cost, efficient transportation infrastructure." Appearing before congressmen from the 10 states which make up the Mississippi River Caucus, the Farm Bureau leader said the Army Corps of Engineers has spent eight years on a six-year study that is still not complete. "Six years ago, the Corps began a comprehensive study of economic conditions in the Midwest, and the economic and environmental impacts of lock and dam improvements," Christopherson said. "We were promised this study would be completed in six years. Later, the release date was pushed back until June 2000, and then again until December 2000. This six-year study has expanded into an eight-year study, and no concrete has been poured for new locks." Despite those problems, Farm Bureau wants Congress to increase funding so the Corps can begin waterway improvements, in particular pre-engineering and design studies for lock chamber extensions for certain locks and dams along the Mississippi and Illinois Rivers. Legislation is also being sought for construction of 1,200-foot lock chambers since barge tows presently must be split and moved through the older locks in two sections before resuming their trip up or down the river system. "It is clear that American soybean farmers have already been squeezed out of international markets to some degree due to infrastructure improvements in Brazil and Argentina that have allowed them to move their grain more cheaply," Christopherson said. River congestion on the Mississippi results in lost income to farmers who can't afford to forgo any income with commodity prices so low, he said. Inefficient water transportation will result in further lost export market share for U.S.-grown grains and less income for farmers. Preliminary results from a Texas A&M study indicate that producers could lose between $100 million and $150 million a year if bottlenecks on the Mississippi continue to reduce the efficiency of the inland waterway system. The inland waterway system is absolutely critical to American agriculture. About one-third of American agricultural production is exported and nearly 60 percent of those exports move down the Mississippi River system to ports on the Gulf of Mexico. Barge traffic has been estimated to support between 300,000 and 450,000 jobs in the 10-state region of the Mississippi River Valley, generating about $4 billion in income. -30- __________________________________________ Ms. Renske van Staveren, Coordinator International Forum on Food & Agriculture (IFA) c/o Institute for Agriculture and Trade Policy (IATP) 2105 First Avenue South Minneapolis, MN, USA 55404-2505 ph: 612-870-3423 fax: 612-870-4846 [log in to unmask]> http://www.iffah.org __________________________________________ "When I give food to the poor, they call me a saint. When I ask why the poor have no food, they call me a communist." - Dom Helder Camara James Patrick Falvey Programs Manager Mississippi River Basin Alliance ----------------------------------------------------------------- To get off the IOWA-TOPICS list, send email to [log in to unmask] Make the message text (not the subject): SIGNOFF IOWA-TOPICS