[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. Con. Res. 73 Introduced in Senate (IS)]
103d CONGRESS
2d Session
S. CON. RES. 73
Expressing the sense of the Congress with respect to the announcement
of the Japanese Food Agency that it does not intend to fulfill its
commitment to purchase 75,000 metric tons of United States rice.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 27 (legislative day, July 20), 1994
Mrs. Feinstein (for herself, Mr. Breaux, Mrs. Boxer, Mr. Pryor, Mr.
Bumpers, and Mr. Johnston) submitted the following concurrent
resolution; which was referred to the Committee on Finance
_______________________________________________________________________
CONCURRENT RESOLUTION
Expressing the sense of the Congress with respect to the announcement
of the Japanese Food Agency that it does not intend to fulfill its
commitment to purchase 75,000 metric tons of United States rice.
Whereas due to severe weather conditions during the summer of 1993, Japan found
its rice supply to be disastrously short, and thus was forced to
announce the establishment of an emergency program to import rice during
1993 and 1994;
Whereas the Japanese Food Agency initiated an emergency program to import
approximately 2,650,000 metric tons of rice during 1993 and 1994;
Whereas the Japanese Food Agency reached a food faith agreement with United
States Government officials and representatives of the United States
rice industry to purchase 644,000 metric tons of United States rice as
part of the emergency program;
Whereas the United States rice industry undertook extraordinary measures,
including buying back inventory already sold to other customers, to
ensure that 644,000 metric tons of United States rice was available for
shipment to Japan;
Whereas the Japanese Food Agency announced in June 1994 that it had terminated
the emergency program, notwithstanding that 75,000 metric tons of United
States rice reserved for export to Japan under the good faith agreement
remained to be shipped;
Whereas the Japanese Food Agency refuses to honor its commitment to purchase the
remaining 75,000 metric tons of United States rice despite repeated
overtures from United States Government officials and representatives of
the rice industry;
Whereas the remaining 75,000 metric tons of rice represent a relatively small
quantity of rice to Japan, but a highly significant one to the United
States rice industry, with an economic impact of over $45,000,000;
Whereas if the 75,000 metric tons of rice remain unsold to the Japanese Food
Agency, the carryover of this quantity from the 1993 crop year to the
1994 crop year will cause the United States season average farm price
for rice to decline by $.36 per hundredweight in 1994, and by $.17 per
hundredweight in 1995;
Whereas these declines in price would equate to a loss in farm revenue of
$56,200,000 in 1994 and $30,800,000 in 1995, for a combined loss of
$87,000,000;
Whereas the United States Government and the United States rice industry have
worked diligently and exhaustively to establish an open trade
relationship with the Government of Japan;
Whereas the failure of the Japanese Food Agency to purchase the remaining 75,000
metric tons of United States rice directly contravenes a good faith
agreement between the Japanese Food Agency and the United States rice
industry and thereby places in jeopardy other such agreements reached
between the United States and Japan; and
Whereas this action by the Japanese Food Agency damages the prospect for future
trade relations between the United States and Japan: Now, therefore, be
it
Resolved by the Senate (the House of Representatives concurring),
That the Congress of the United States--
(1) strongly disapproves of the decision of the Japanese
Food Agency to renege on its good faith agreement to purchase
75,000 metric tons of rice from the United States rice
industry;
(2) expresses its grave concern about the future of trade
relations between the United States and Japan in light of the
failure of the Japanese Food Agency to honor an agreement made
in good faith with United States Government officials and
representatives of the rice industry;
(3) strongly urges the Government of Japan to fulfill
expeditiously its commitment to purchase the remaining 75,000
metric tons of United States rice; and
(4) strongly encourages the President of the United States
to take all steps necessary to conclude the purchase of the
remaining 75,000 metric tons of United States rice that has
been reserved for purchase by the Japanese Food Agency.
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