Letter to the Honorable Barack Obama, President, United States of America

Letter

GILLIBRAND AND SCHUMER TO WHITE HOUSE: DON'T CUT FUNDING FOR CRITICAL MARKET ACCESS PROGRAM THAT EXPANDS U.S. AG SALES, PROVIDES EMPLOYMENT AND ECONOMIC OPPORTUNITIES FOR LOCAL FARMERS

President Obama's FY 2010 Budget Proposes a 20 Percent Cut for MAP, Drastically Reducing Farmers' Ability to Promote Their Products Overseas

Since Program's Inception, U.S. Agricultural Exports Have Increased Nearly 300 Percent

Gillibrand and Schumer Join Cantwell, Boxer, Snowe, Wyden, Vitter, Johanns and Crapo In Letter to Obama Urging Him to Maintain Current Funding Levels for MAP

As Congress considers President Obama's FY10 Budget, U.S. Senators Charles E. Schumer and Kirsten Gillibrand, along with Senators Cantwell, Boxer, Snowe, Wyden, Vitter, Johanns and Crapo wrote to President Obama urging him to maintain current levels of funding for the Market Access Program (MAP), a program under the U.S. Department of Agriculture's (USDA) Commodity Credit Corporation (CCC) that aids in the expansion and maintenance of foreign markets for U.S. agricultural products. The 2008 Farm Bill authorizes $200 million in funding for MAP, but the President has proposed a 20 percent cut to the program, which would drastically cut farmer's ability to promote their products abroad.

To ensure that the President includes the full amount authorized for MAP under the 2008 Farm Bill in his final 2010 budget, Senators Schumer and Gillibrand wrote a letter along with Senators Cantwell, Boxer, Snowe, Wyden, Vitter, Johanns and Crapo to President Obama urging him not to make cuts to the MAP.

"In these lean economic times it is imperative that we work to meet the needs of farmers in Upstate New York and across the country," said Schumer. "Times are hard for farmers across the country and these cuts would be the nail in the coffin for thousands of families already struggling to make ends meet. We must provide some form of economic relief to our local farmers so that their farms can continue to thrive. I will fight tooth and nail to keep MAP funding at current levels."

"I support President Obama's plan to get our economy turned around, but now is not the time to cut New York farmers off from the market," Senator Gillibrand said. "I am joining with Senator Schumer to urge the President to maintain this funding so that New York farmers can survive during these difficult times. It is imperative that we work to expand market access to help New York farmers sell and export their products and compete in the global economy."

The Market Access Program (MAP) uses funds from the U.S. Department of Agriculture's (USDA) Commodity Credit Corporation (CCC) to aid in the creation, expansion, and maintenance of foreign markets for U.S. agricultural products. The MAP is authorized by Section 203 of the Agricultural Trade Act of 1978, and is administered by the USDA's Foreign Agricultural Service (FAS).

Authorized under the 2008 Farm Bill, the MAP forms a partnership between non-profit U.S. agricultural trade associations, U.S. agricultural cooperatives, non-profit state-regional trade groups, small U.S. businesses, and USDA's Commodity Credit Corporation to share the costs of overseas marketing and promotional activities such as consumer promotions, market research, trade shows, and trade servicing. Each year, MAP helps launch and expand sales of U.S. agricultural, fish, and forest products overseas.

All regions of the country benefit from the program's employment and economic effects from expanded agricultural export markets. American farmers that produce dairy, apples, wheat, potatoes, and other agricultural products utilize MAP extensively to help them market their products abroad. Since the program's inception, U.S. agricultural exports have increased nearly 300 percent and created thousands of jobs across the country. Every billion dollars in U.S. agricultural exports supports 12,000 jobs.

MAP is also a very important program to the U.S. dairy industry. The U.S. Dairy Export Council (USDEC) uses MAP funds, along with matching contributions dairy producers as well as processors, to help carry out a number of programs around the world that help to foster the growth of U.S. dairy exports. Last year, MAP helped generate record US dairy exports last year of $3.8 billion - virtually all of them market-driven.

Decreases in MAP funding would severely limit potential for growth and additional sales in the world market.

To ensure that the President's budget allocates full funding to MAP, Senators Schumer and Gillibrand, joined by Senators Cantwell, Boxer, Snowe, Wyden, Gillibrand, Vitter, Johanns and Crapo wrote to President Obama urging him not to make any funding cuts.

A full copy of the letter is below

March 27, 2009

Barack Obama
The President
The White House
Washington, DC 20500

Dear Mr. President:

We write today in regards to the portion of your Fiscal Year 2010 budget outline that proposes cuts to the Market Access Program (MAP). Your budget outline suggests that MAP be cut by 20 percent. Such a large cut to the program would drastically reduce the ability of farmers across the country to adequately promote their products overseas. Since the program's inception, U.S. agricultural exports have increased nearly 300 percent.

MAP was authorized in the Farm Bill, after much debate, at $200 million. American farmers that grow apples, wheat, potatoes, and other crops utilize MAP extensively to help them market their products abroad. The Farm Bill, which was passed last year after an enormous amount of debate and negotiation, made important changes to our country's agricultural policy and should not be reopened before it is fully implemented. Given these challenging economic times, now is not the time to be cutting this important program.

In addition, the significant contribution of exports to the U.S. Gross Domestic Product (GDP), highlighted in your 2009 Trade Agenda, reinforces the need to enhance export opportunities for U.S. products rather than curtail them by reducing MAP funding. Every billion dollars in U.S. agricultural exports supports 12,000 jobs. We appreciate your statement in the budget outline that we should do more to promote American products, and we think MAP can be part of the effort.

We encourage you to include the full amount authorized for the program in your final 2010 budget.

Sincerely,

Senator Charles E. Schumer
Senator Kirsten E. Gillibrand

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