Asa Hutchinson: “in 1934 the Great Depression led Congress to establish the Federal peanut program to protect the peanut producers and to…”

“in 1934 the Great Depression led Congress to establish the Federal peanut program to protect the peanut producers and to control the domestic supply. Well, the peanut program is now 63 years old. That is 63 years of price controls, 63 years of higher prices for consumers and 63 years of centrally-planned economics. I rise in support of the amendment offered by the gentleman from Wisconsin [Mr. Neumann] which compels the USDA to be fair to consumers when establishing a loan level for the peanut quota. Mr. Chairman I grew up on a family farm, a small family farm in Arkansas, and this is not about farming but this is about Government and Government quotas. The peanut program combines production quotas, price support, loans and import restrictions which stifle the U.S. peanut industry and endanger trade for other agricultural commodities. This is a program which benefits only the elite few. The GAO reports that 68 percent of quota owners do not actually participate in farming. They rent their Government quotas for a profit. If a farmer does not sell his crop, he can forfeit to the Government and receive $610 per ton. The world market price is only $350 per ton; that is more than what is necessary. That is an additional $500 million a year in inflated prices for American consumers. It is time we stop this arcane Government program. I urge my colleagues to support the amendment.”