Ed Royce: “the peanut program is nuts, just a shell game. It is a hidden tax. It is a hidden tax on American consumers, adding…”

“the peanut program is nuts, just a shell game. It is a hidden tax. It is a hidden tax on American consumers, adding hundreds of millions of dollars to the cost of peanuts. We have not repealed the law of economics. A jar of peanut butter costs 33 cents more because of the peanut program. These higher prices affect all consumers, but particularly low-income Americans, who often substitute peanuts for higher priced sources of protein. Even the Federal Government is feeling the pinch of higher peanut prices. It has cut its purchases of peanut butter for feeding programs such as school lunches. In the 1996 farm bill we were promised real reform. However, in my view, this never was realized. We still have a program of fixed peanut prices, government-sponsored peanut shortages, and it is still illegal to grow peanuts without a license. This amendment is a step in the right direction. It caps the peanut price support at $550 per ton. This is only a 10-percent reduction in the support price. I urge support for this amendment.”