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Agriculture Secretary Ann Veneman met with commodity group leaders Monday in St. Louis prior to addressing the St. Louis Agribusiness Club. From left are: Steve Censky, CEO of the American Soybean Association; Secretary Veneman; Rick Tolman, NCGA CEO; and John Becherer, CEO of the United Soybean Board.

Veneman Outlines Administration’s Vision for Agriculture in Speech to Agribusiness Club (9-15-04)

Not long ago, U.S. agriculture simply meant the production of feed, food and fiber. But with the development of renewable fuels like ethanol, environmentally friendly plastics and other new crop-based products, those days are long gone, Secretary of Agriculture Ann Veneman told the St. Louis Agribusiness Club Monday.

“This is a critical time for agriculture,” Veneman told the group of more than 100 agribusiness leaders. “It is a time of change. It is a time of great promise. We look to a bright future for agriculture, a future where science and technology remain indispensable, and a future of productivity and profitability.”

National Corn Growers Association (NCGA) CEO Rick Tolman said Veneman’s remarks to the club touched on all six of NCGA’s key issues – biotechnology, ethanol, transportation, farm and rural development, trade and research and business development.

“It was obvious that Secretary Veneman and this administration are intensely focused on many of the same issues that NCGA deals with on an everyday basis,” said Tolman, who had the opportunity to meet personally with Veneman earlier in the day. “It’s encouraging that the administration’s vision for agriculture is in alignment with NCGA’s goals and key initiatives.”

Veneman said USDA is focused on helping farmers to expand existing markets and develop new uses for their products. “American agriculture needs additional avenues to sell their products, and two of the best ways to make sure we have more opportunities available are looking at new and alternative uses for agriculture and international trade,” she said.

Crops hold incredible potential to be used as material sources for industrial and commercial products, Veneman said, adding she had just received plastic utensils and a comforter derived from corn as gifts Monday morning.

Another of those value-added uses – ethanol – is already stimulating economic development, and congressional passage of the Renewable Fuels Standard (RFS) could further increase corn’s profitability, Veneman said.

“A Renewable Fuels Standard, setting minimum production at 5 billion gallons, could significantly increase the number of bushels of corn for ethanol production from nearly 1.4 billion bushels today to about 2 billion by the year 2012,” she said. “That would boost corn and sorghum prices by an estimated 10 cents to perhaps as much as 30 cents per bushel.”

As crude oil prices continue to rise and fossil fuels become exceedingly limited, ethanol will become even more important to U.S. consumers, according to Veneman. “Renewable energy is no longer a futuristic or abstract idea. It is here now,” she said. “And as we have seen decade after decade, the energy security of the United States goes hand in hand with national security.”

Veneman also emphasized the importance of biotechnology in agriculture. In 2003, she created USDA’s Advisory Committee on Biotechnology and 21st Century Agriculture to examine the role of biotechnology in agricultural production today.

“Two things are certain,” Veneman said. “The first is that the president and I believe in the tremendous promise of biotechnology and…the second is that consumer confidence in the food supply is crucial and that transparency in our regulations is critical if our efforts are to succeed.”

The importance of vibrant trade policy also topped Veneman’s agenda. “Aside from new technologies and new uses, additional trade opportunities are critical to the future of American farmers,” she said. “And that’s why this administration has embarked on the most aggressive trade agenda to open markets and maintain our existing ones.”

In response to a question from the audience, Veneman articulated the administration’s position on another of NCGA’s priorities – improving transportation infrastructure on the nation’s waterways.

“The administration has expressed support for working on the locks and improving the lock system,” she said. “I think that’s very important because it is a system that needs improvement. Obviously, some of these systems now are in need of updating and improvement so that they are available for…agriculture and other resources that use the waterways to transport their products.”

To read the full text of Veneman’s remarks, click here.


Last reviewed September 15, 2004



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