[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H. Con. Res. 274 Introduced in House (IH)]

103d CONGRESS
  2d Session
H. CON. RES. 274

 Expressing the sense of the Congress with respect to the announcement 
  of the Japanese Food Agency that it does not intend to fulfill its 
    commitment to purchase 75,000 metric tons of United States rice.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 27, 1994

   Mr. Fazio (for himself, Mr. Archer, Mr. Calvert, Mr. Chapman, Mr. 
 Condit, Mr. Dixon, Mr. Dooley, Mr. Doolittle, Mr. Dornan, Mr. Edwards 
  of California, Mr. Gene Green of Texas, Mr. Hayes, Mr. Herger, Mr. 
    Horn, Mr. Hutchinson, Mr. Lantos, Mr. Lewis of California, Mr. 
    Moorhead, Mr. Pombo, Mr. Tauzin, Mr. Thomas of California, Mr. 
 Thornton, Mr. Washington, Mr. Wilson, and Ms. Woolsey) submitted the 
following concurrent resolution; which was referred to the Committee on 
                             Ways and Means

_______________________________________________________________________

                         CONCURRENT RESOLUTION


 
 Expressing the sense of the Congress with respect to the announcement 
  of the Japanese Food Agency that it does not intend to fulfill its 
    commitment to purchase 75,000 metric tons of United States rice.

Whereas due to severe weather conditions during the summer of 1993, Japan found 
        its rice supply to be disastrously short, and thus was forced to 
        announce the establishment of an emergency program to import rice during 
        1993 and 1994;
Whereas the Japanese Food Agency initiated an emergency program to import 
        approximately 2,650,000 metric tons of rice during 1993 and 1994;
Whereas the Japanese Food Agency reached a good faith agreement with United 
        States Government officials and representatives of the United States 
        rice industry to purchase 644,000 metric tons of United States rice as 
        part of the emergency program;
Whereas the United States rice industry undertook extraordinary measures, 
        including buying back inventory already sold to other customers, to 
        ensure that 644,000 metric tons of United States rice was available for 
        shipment to Japan;
Whereas the Japanese Food Agency announced in June 1994 that it had terminated 
        the emergency program, notwithstanding that 75,000 metric tons of United 
        States rice reserved for export to Japan under the good faith agreement 
        remained to be shipped;
Whereas the Japanese Food Agency refuses to honor its commitment to purchase the 
        remaining 75,000 metric tons of United States rice despite repeated 
        overtures from United States Government officials and representatives of 
        the rice industry;
Whereas the remaining 75,000 metric tons of rice represent a relatively small 
        quantity of rice to Japan, but a highly significant one to the United 
        States rice industry, with an economic impact of over $45,000,000;
Whereas if the 75,000 metric tons of rice remain unsold to the Japanese Food 
        Agency, the carryover of this quantity from the 1993 crop year to the 
        1994 crop year will cause the United States season average farm price 
        for rice to decline by $.36 per hundredweight in 1994, and by $.17 per 
        hundredweight in 1995;
Whereas these declines in price would equate to a loss in farm revenue of 
        $56,200,000 in 1994 and $30,800,000 in 1995, for a combined loss of 
        $87,000,000;
Whereas the United States Government and the United States rice industry have 
        worked diligently and exhaustively to establish an open trade 
        relationship with the Government of Japan;
Whereas the failure of the Japanese Food Agency to purchase the remaining 75,000 
        metric tons of United States rice directly contravenes a good faith 
        agreement between the Japanese Food Agency and the United States rice 
        industry and thereby places in jeopardy other such agreements reached 
        between the United States and Japan; and
Whereas this action by the Japanese Food Agency damages the prospect for future 
        trade relations between the United States and Japan: Now, therefore, be 
        it
    Resolved by the House of Representatives (the Senate concurring), 
That the Congress of the United States--
            (1) strongly disapproves of the decision of the Japanese 
        Food Agency to renege on its good faith agreement to purchase 
        75,000 metric tons of rice from the United States rice 
        industry;
            (2) expresses its grave concern about the future of trade 
        relations between the United States and Japan in light of the 
        failure of the Japanese Food Agency to honor an agreement made 
        in good faith with United States Government officials and 
        representatives of the rice industry;
            (3) strongly urges the Government of Japan to fulfill 
        expeditiously its commitment to purchase the remaining 75,000 
        metric tons of United States rice; and
            (4) strongly encourages the President of the United States 
        to take all steps necessary to conclude the purchase of the 
        remaining 75,000 metric tons of United States rice that has 
        been reserved for purchase by the Japanese Food Agency.
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