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Nature of Change.

(a) A decrease of $19,754,000 in commodity costs ($439,754,000 available in 19S4). Changes in major shipments and" commodity""costs are as follows:

Change in Change in

Estimated Cost of

Shipments Shipnents (In thousands) Increases:

Milled rice (cwt) +235 +$5,904

Blended food products (lb) +94,575 +13,249*

Lentils (lb) +10,853 +2,340

Total increases xxx +21,493

Oecreases:

Feed grains and products (met. tons) -24 -S7.732*

Uheat and products (bu equiv.) 2,721 -13,604

Soybem products (lb) -2,600 -546*

Ory edible peas (lb) 7,263 -1,069

Vegetable oil products (lb) -23,296 -17,593*

Milk, nonfat dry (lb) -12,064 -603

Total decreases xxx -41,247

Net decreases xxx -19,754

* Also reflects lower commodity unit prices. Other commodities reflect
either no change or higher unit prices.

(h) An increase of $19,754,000 in ocean transportation ($210,246,000 available inTqM). TFTis is primarily due to a higher rate per ton, partially offset by~a" decrease of about 45 thousand metric tons in estimated shipnents. An estimated $24 million is to be financed in fiscal year 1984 by the World Food Program.

Costs financed include payment to the Corporation for its investment in commodities made available, including acquisition costs, storage, processing and packaging, inland transportation, and handling charges. Commodities supplied from the Corporation's inventory, if acquired under a price support program, are valued at a price not greater than the export market price at the time of delivery. Costs of ocean transportation am paid from U.S. ports to designated ports of entry abroad, or designated points of entry in landlocked countries, as well as any foreign currencies purchased for use in self-help activities.

The following table shows estimated expenses of shipments by commodity for fiscal years 1983, 1984, and 1985:

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Dublic Law 431, Title II, Expenses of shipments, 1983-1985:

Unit om 1983 Actualpa 1984 Estimate copac 1985 Estimate-
Commodity

Measure Quantity ValueTQuantity ValueTQuantity T Value
Feed grains:
Corn........

bushel i 3,233,0681 $11,545,1911 4,579,357 $19,131,0001 3,444,714 $11,883,000
Corn products......

pound 179,319,501 15,949,021 199,766,000 25,570,0001225,668,000 26,042,000 Grain sorghum......

bushel 1,599,0371 5,474,572 2,467,3571 9,533,000/ 2,271,1961 8,916,000 Sorghum products...

pound | 33,685,798) 3,046,283 59,520,0001 6,916,0001 54,886,0001 6,477,000 Barley.......

bushel

-9,644 Dat products........ pound 20,862,550 3,420,449 1,508,000 203,000

303,000 Total feed grains......... sh.ton

T 39,425,8721

XX
161,353,000 XX

53,621,000
Wheat.........

bushel 31,191,508 122,838,386 16,706,767 71,873,0001 17,985,417 80,070,000
wheat flour...

pound 359,841,9281 39,234,565248,971,000 29,544,0001213,142,0001 25,686,000
Bulgur........

pound 498,484,8471 48,117,878 689,672,000 73,519,000 515,306,000 55,576,000
Other wheat products...

pound 1,297,9501 339,803
Total wheat and products....jou equiv. i 48,363,742 210,571,6327 34,905,011|174,936,000 32,184,231f161,332,000
Rice, milled........

cwt

588,164 7,472,727 1,365,540 21,585,000 1,600,340 27,589,000 Rice products......

pound

-1,3101 Blended food products....

pound

| 305,697,093 40,478,021/229,026,0001 38,032,000/323,601,0000 51,281,000 Soybean products....

pound

160,000 31,582 2,776,000 680,0001 176,000 34,000
peas, dry whole......

pound 5,818,5001 900,905 10,027, 6001 1,477,000 2,764,000 408,000
Lentils.......
pound

10,858,000 2,340,000 Butter......

pound | 29,965,5931 1,499,982 Cheese........

pound | 19,673,8731 986,1331 Milk, nonfat dry.......

pound 314,051,0681 15,535,379283,084,000 14,154,000 271,020,0001 13,551,000 Total dairy products,

pound 1363,691,5341 18,021,494 283,084,000 14,154,000 271,020,000 13,551,000

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Peanut oil, refined..

pound

-8,687
Vegetable oil products........ pound 237,454,587 73,671,924 277,037,000 127,437,000 253,741,000 109,844,000
Total commodity costs.....!

390,564,1601
1439,754,000

420,000,000
met. tons
Ocean Transportation.......... met.tons _

166,327, 869 1,602,087 210,246,000 1,556,757 230,000,000
Total expenses of shipment.... xxx. xx 556,892,029| xx 650,000,000. XX (650,000,000
Note: Metric tonnage shown is based on the pounds of products on which freight is actually paid, not on bushel

equivalent of grain.

Evaluation of the

United States Agricultural Trade Offices

in Bahrain, Singapore and Seoul

As Established Under the Authority of

Public Law 95-501, the Agricultural Trade Act of 1978

As Signed into Law on October 21, 1978

This Report Was Prepared By

Leo V. Mayer

Associate Administrator

Foreign Agricultural Service

Carmen Nohre

International Economics Division

Economic Research Service

U.S. Department of Agriculture

William Kerkvliet

Land 0'Lakes

Minneapolis, Minnesota

and

Terry Vorachek
Regional Director
Middle East/Africa
U.S. Feed Grains Council
Rome

October 1981
Washington, D.C.

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FOREWORD

This report was prepared as part of an evaluation process of the 11 Agricultural Trade Offices that h=v. been established since the Agricultural Trade Act was passed in 1978. It is the outgrowth of a decision made within the Foreign Agricultural Service, U.S. Department of Agriculture, to conduct an objective evaluation of these offices by sending three-man teams to the trade offices for onsite inspection during August and September 1978,'

The teams sent consisted of one individual from the Foreign Agricultural Service, one individual from private industry and one individual from the Economic Research Service of the Department of Agriculture. The objective was to provide a balanced government/industry viewpoint of the effectiveness and value of the Agricultural Trade Offices. The Government representatives were chosen by the Administrator of the Foreign Agricultural Service and the Administrator of the Economic Research Service, while the industry representatives were chosen by cooperators through their council. The specific instructions given the team were to conduct an overall evaluation of the ATO's and determine whether or not the offices are carrying out the functions mandated by the Agricultural Trade Act of 1978. A list of 10 specific functions designed to expand the market for U.S. agricultural products was considered in the process of this evaluation. These 10 functions' are given in the Agricultural Trade Act of 1978.

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