tion about export programs and obtains FAS reaction to proposed export programs.

The General Sales Office through FAS consults with the Department of State on matters of export-pricing policies as they may affect world markets or cause interference with the traditional markets of friendly countries. It also consults with the International Cooperation Administration regarding surplus commodities to be programed under section 402 of the Mutual Security Act of 1954 and title II of Public Law 480, Agricultural Trade and Development Act.

Mr. Daniels holds membership on the Inter-Agency Committee on Surplus Disposal, and the Inter-Departmental Working Committee which discusses, evaluates, and makes recommendations on various programs such as, title 1, Public Law 480; title II, Public Law 480; section 402 of the Mutual Security Act and section 416 of the Agricultural Act of 1949, as amended. He has a decisive voice in these committee deliberations as he has the authority to establish priority of programing of any commodity.

Mr. Daniels and members of his staff consult with domestic and foreign food and agricultural trade firms and associations in order to enlist their assistance and to assure understanding of CCC sales policies and programs. He has also initiated plans for holding a series of meetings with United States exporters, banks and related foreign trade groups. These meetings, to be jointly sponsored by FAS, will afford further opportunity to discuss CCC's export sales programs aimed at increasing disposal of United States agricultural commodities.

On February 7, 1956, the Commodity Credit Corporation inaugurated a new sales program under which export sales of CCC-owned commodities are made on deferred payment terms. Under this program, a United States exporter may defer payment to CCC for up to 36 months upon the presentation of an assurance of payment from a bank in the United States. Interest is charged on any amount owed to CCC by the exporter.

Mr. Daniels also initiated negotiations with the Export-Import Bank of Washington relative to possibilities of the Bank's extending credit to foreign importers. On September 10, 1956, the ExportImport Bank announced that under certain conditions it would make 6- to 12-month loans available to foreign importers who desired to import surplus agricultural commodities from the United States.

Procedurally, when a sales policy has been determined by the Office of the General Sales Manager, the responsible commodity division in Washington is directed to prepare the necessary sales announcement or have same prepared in one of the commodity offices. This sales announcement is cleared by the Office of the General Counsel and finally approved by the Office of the General Sales Manager. A public announcement is then made by a press release and copies of the sales announcement are mailed to all persons and firms appearing on the applicable mailing list.

The following commodities are now being offered for export on a competitive-bid basis:

The principal commodities in CCC inventory which are not offered for export on a competitive-bid basis include butter, cheese, dried milk, and wheat.

Butter, cheese, and dried milk are not offered on a competitive-bid basis because experience has proven that relationships with friendly countries marketing dairy products are better served by offering such commodities at a fixed price. The Department is committed to consult with other dairy marketing countries before making any significant change in the offering price.

Sales of storable corn for export on a competitive-bid basis were suspended late in 1955 to provide an additional outlet for current production being marketed by farmers, thereby strengthening producer prices; however, in December 1956, CCC again began to offer its storable corn for export on a competitive-bid basis.

Effective September 4, 1956, the merchandising of wheat for commercial export, other than for fulfilling barter contracts, was placed exclusively in the hands of the grain trade. Wheat export-subsidy payments are now made in the form of wheat from CCC stocks. Prior to September 4, 1956, almost all wheat exported was obtained from CCC stocks.

E. SALES RESULTS OBTAINED TO DATE

Schedule A, which is set forth below, is a tabulation of dollar sales for the 3 fiscal years ended June 30, 1956. Since the General Sales Office was established July 1, 1955, only those sales subsequent to that date could be attributed to the activities of the General Sales Office. The sales for fiscal years 1954 and 1955 have been included for comparative purposes.

Schedule A reflects only those sales which the General Sales Office considers to be purely dollar sales. Barter transactions for which CCC obtains dollars have been excluded as have section 32 (school lunch) sales.

Subsequent to the compilation of schedule A, the staff was advised by the General Sales Office that dollar sales for the period July through November 1956 totaled $915,249,000. The substantial increase in dollar sales for the first 5 months of fiscal year 1957 can be largely attributed to the fact that sales of upland cotton increased materially. During this period sales of upland cotton amounted to $583,627,000.

Schedule B, which is set forth below, is a tabulation of total dispositions from price support inventories. Under the heading, "All other transfers" are included transfers of commodities to the Army, Navy, Veterans' Administration, and General Services Administration, and pursuant to Public Law 480, title II.

It should be pointed out that donations shown in schedule B have not been included in the total dispositions column. The staff was advised that the general sales office felt donations should be excluded because CCC does not obtain reimbursement for them.