First and foremost, despite the current partial government shutdown and the lapse in the Farm Bill, the U.S. Grains Council is still open for business, both in the United States and around the world.
The Council cannot sustain current operations indefinitely without reauthorization of the Farm Bill and a resolution of the FY 2014 federal budget impasse, but through careful husbandry of resources the Council has built a sufficient warchest to continue at least through the end of the year. In addition, several state checkoff members have generously volunteered to advance FY 2014 funding ahead of their normal timetables. Council staff around the world is working to keep current initiatives in place as best they can. Major new commitments are being deferred until the long-term funding situation clarifies.
More broadly, the current situation is unpredictable. On Oct. 1, the federal government began a partial shutdown due to the failure to reach agreement on a FY 2014 budget. In addition, the Farm Bill has again expired; it had been extended for one year as part of the FY 2013 continuing resolution, but that year ended Sept. 30. Among the myriad programs caught in this double bind are USDA’s major export promotion programs, the Market Access Program (MAP) and Foreign Market Development Program (FMD). Program authorizations have lapsed with the Farm Bill, no FY 2014 funding has been appropriated, and most Foreign Agricultural Service offices are closed due to the shutdown.
Since 1976, partial federal shutdowns have occurred 18 times for periods ranging from one to 21 days. The protocols are therefore well established. “Essential” functions will continue. These include national defense, law enforcement, the major social welfare programs, and activities directly related to health, safety, and the orderly functioning of the economy (e.g., air traffic control and ports administration). “Non-essential” functions are suspended pending enactment of a budget. In the current situation, of course, passage of an FY 2014 budget is only half the battle, because MAP and FMD require reauthorization of the Farm Bill as well.
The current government shutdown is a matter of great urgency for all involved. Agriculture is one of America’s trade champions. Export promotion programs are proven, successful programs that open, expand and defend foreign markets for U.S. producers. While they enjoy broad bipartisan support in Congress, they are caught up in bigger battles over other Farm Bill provisions and the FY 2014 budget. While these issues are important, significant damage will be done to important national objectives if these matters are not resolved in a timely manner.
This is no time to be in lockdown mode. Delay costs sales. We have a good crop coming on that needs to be marketed. The sooner that MAP and FMD are restored, the better.