    [Senate Hearing 119-131]
    [From the U.S. Government Publishing Office]

                                                            S. Hrg. 119-131

                       PERSPECTIVES ON REAUTHORIZATION OF THE
                            U.S. GRAIN STANDARDS ACT

    =======================================================================

                                    HEARING

                                   BEFORE THE

                           COMMITTEE ON AGRICULTURE,
                            NUTRITION, AND FORESTRY

                              UNITED STATES SENATE

                        ONE HUNDRED NINETEENTH CONGRESS

                                 FIRST SESSION

                                   __________

                                 July 29, 2025

                                   __________

                           Printed for the use of the
               Committee on Agriculture, Nutrition, and Forestry

    [GRAPHIC NOT AVAILABLE IN TIFF FORMAT]

                      Available on http://www.govinfo.gov/

                                    __________

                       U.S. GOVERNMENT PUBLISHING OFFICE
    61-295 PDF                  WASHINGTON : 2025

    -----------------------------------------------------------------------------------

               COMMITTEE ON AGRICULTURE, NUTRITION, AND FORESTRY

                        JOHN BOOZMAN, Arkansas, Chairman

    MITCH McCONNELL, Kentucky            AMY KLOBUCHAR, Minnesota
    JOHN HOEVEN, North Dakota            MICHAEL F. BENNET, Colorado
    JONI ERNST, Iowa                     TINA SMITH, Minnesota
    CINDY HYDE-SMITH, Mississippi        RICHARD J. DURBIN, Illinois
    ROGER MARSHALL, Kansas               CORY BOOKER, New Jersey
    TOMMY TUBERVILLE, Alabama            BEN RAY LUJAN, New Mexico
    JAMES C. JUSTICE, West Virginia      RAPHAEL WARNOCK, Georgia
    CHARLES GRASSLEY, Iowa               PETER WELCH, Vermont
    JOHN THUNE, South Dakota             JOHN FETTERMAN, Pennsylvania
    DEB FISCHER, Nebraska                ADAM SCHIFF, California
    JERRY MORAN, Kansas                  ELISSA SLOTKIN, Michigan

                   Fitzhugh Elder IV, Majority Staff Director
                        Jessica L. Williams, Chief Clerk
                    Lauren Santabar, Minority Staff Director
                     Chu-Yuan Hwang, Minority Chief Counsel

                                C O N T E N T S

                                  ----------

                             Tuesday, July 29, 2025

                                                                       Page

    Hearing:

    Perspectives on Reauthorization of The U.S. Grain Standards Act..     1

                                  ----------

                        STATEMENTS PRESENTED BY SENATORS

    Boozman, Hon. John, U.S. Senator from the State of Arkansas......     1
    Klobuchar, Hon. Amy, U.S. Senator from the State of Minnesota....     2

                                   WITNESSES

    Friant, Nicholas, Chairman, Grain Grades and Weights Committee,
      National Grain and Feed Association, Chanhassen, MN............     4
    Mikesh, Kia, President, American Association of Grain Inspection
      and Weighing Agencies, Fargo, ND...............................     6
    Wipf, Brandon, Board of Directors Member, American Soybean
      Association, Huron, SD.........................................     7
                                  ----------

                                    APPENDIX

    Prepared Statement:
        Friant, Nicholas.............................................    22
        Mikesh, Kia..................................................    33
        Wipf, Brandon................................................    37

    Question and Answer:
    Friant, Nicholas:
        Written response to questions from Hon. Amy Klobuchar........    42
        Written response to questions from Hon. Adam Schiff..........    42
    Mikesh, Kia:
        Written response to questions from Hon. Amy Klobuchar........    44
        Written response to questions from Hon. Charles Grassley.....    45
        Written response to questions from Hon. Adam Schiff..........    46
    Wipf, Brandon:
        Written response to questions from Hon. Amy Klobuchar........    49
        Written response to questions from Hon. Charles Grassley.....    49

        PERSPECTIVES ON REAUTHORIZATION OF THE U.S. GRAIN STANDARDS ACT

                                  ----------

                             TUESDAY, JULY 29, 2025

                                            U.S. Senate
              Committee on Agriculture, Nutrition, and Forestry
                                                        Washington, DC.
        The Committee met, pursuant to notice, at 3 p.m., in Room
    328A, Russell Senate Office Building, Hon. John Boozman,
    Chairman of the Committee, presiding.
        Present: Senators Boozman [presiding], Hoeven, Ernst, Hyde-
    Smith, Marshall, Thune, Klobuchar, Bennet, Smith, Warnock and
    Fetterman.

       STATEMENT OF HON. BOOZMAN, U.S. SENATOR FROM THE STATE OF
     ARKANSAS, CHAIRMAN, U.S. COMMITTEE ON AGRICULTURE, NUTRITION,
                              AND FORESTRY

        Chairman Boozman. Good afternoon. It is my privilege to
    call the hearing to order. Senator Klobuchar will be with us in
    just a few minutes.
        The only thing we have got to do around here is vote, and
    we have got a lot of people down there doing the second vote
    right now. I know you all are busy, and there is just so much
    going on right now as we wrap up this week, so I think we are
    going to go ahead and get started.
        It is my privilege to call the hearing to order. I thank my
    colleagues for joining us and the witnesses before us taking
    the time to be here today. Today, we will consider three
    perspectives from expert witnesses regarding the need to
    reauthorize critical components of the U.S. Grain Standards
    Act, which are set to expire at the end of September.
        From farmers to consumers, our Nation's partners, our
    Nation's agricultural system relies on the critical weighing
    and inspection services provided by the U.S. Department of
    Agriculture's Federal Grain Inspection Service and partner
    agencies across the country. These services facilitate the
    timely marketing of high-quality U.S. grain into the global
    marketplace and help set the U.S. apart as a trusted,
    consistent, and reliable source for the world's grain needs.
        Mr. Friant, Mrs. Mikesh, and Mr. Wipf, did I get that
    right?
        Mr. Wipf. Wipf.
        Chairman Boozman. Wipf.
        Mr. Wipf. One syllable.
        Chairman Boozman. Well, you are like me. You are used to
    being called everything.
        [Laughter.]
        Chairman Boozman. Wipf. Your testimony today will help
    inform us how we can best proceed. We appreciate the engagement
    for you and your organizations. As I always say, the best ideas
    come from the ground up.
        We will also be working with USDA to ensure our farmers,
    and the grain value chain continue to receive quality service
    and that USDA has the authority and flexibility it needs to
    adequately respond to any issue that may arise.
        I look forward to working with Ranking Member Klobuchar,
    Members of this Committee, and the stakeholders who depend on
    the U.S. grain standards functioning properly to ensure a
    timely, productive, and bipartisan reauthorization of this act.
    Thank you all again for being here today.
        As I said, Senator Klobuchar will be with us in just a
    little bit, and so we will go ahead, though, and proceed with
    our introductions.
        Yes, we were just about to introduce Mr. Friant, and so I
    think you are going to do that for us.

      STATEMENT OF HON. KLOBUCHAR, U.S. SENATOR FROM THE STATE OF
                               MINNESOTA

        Senator Klobuchar. All right. I am going to just say a few
    words. Sorry I am late, but we were doing our caucus event. I
    also am going to have to leave a little early, but I am really
    excited that you are having this hearing, Mr. Chairman, and to
    focus on the grain inspection system, and I would especially
    like to welcome Mr. Nick Friant from Chanhassen, Minnesota, who
    is joined here today by his daughter Clara as well. Where are
    you, Clara? Right back there. Thank you. Good school experience
    there to bring home.
        Before we begin, I would like to underscore how damaging
    USDA's recently announced reorganization could be to American
    agriculture. I truly appreciate that Senator Boozman is having
    a hearing, and we are going to hear from the Deputy Secretary
    tomorrow because we had little analysis, zero consultation.
    Amid all of this, a hearing on grain standards may seem
    unusual, but this statute and the services provided by the
    Federal Grain Inspection Service serve as a critical role in
    the U.S. and global marketplace for grains and oilseeds, and we
    have had bipartisan support for working on this issue in the
    past and plan to have that keep happening in the future. Any
    lapse in this authority, which is set to expire at the end of
    September, will only create more uncertainty for farmers.
        Though the Grain Standards Act was first enacted in 1916,
    the current grain inspection system was born out of the 1970s,
    when the credibility of U.S. agricultural exports was seriously
    called into question following a series of scandals in the
    private inspection system. While American farmers were
    producing high-quality grain, private individuals and companies
    tasked with inspection were shortchanging customers abroad
    through intentional mis-grading, inaccurately weighing grain,
    and even bribery that led to several federal indictments and
    convictions.
        Following those events, Congress created the Federal Grain
    Inspection System to return integrity to the U.S. brand. The
    official USDA Certificate of Inspection and Weighing helps
    ensure American farmers are getting a fair price and guarantees
    international customers can trust the products they are buying,
    whether it is from Minnesota with our soybeans or rice from
    Arkansas.
        Since this time, with various periodic updates, the trust
    associated with the certificate has become the gold standard
    for international customers and has made American farmers the
    premier suppliers of high-quality grains and oilseeds. These
    export markets have been a bright spot in our economy in recent
    decades. With all the uncertainty going on with tariffs, it is
    more important than ever that we maintain the integrity of our
    grain inspection system today. I look forward to working with
    you, Mr. Chairman, to do just that as we begin to work together
    in a bipartisan way to reauthorize the legislation.
        Chairman Boozman. Thank you very much. I am going to go
    ahead and introduce Mrs. Kia Mikesh, and Senator Hoeven will be
    along at some point. He is busy working hard to get the ag bill
    so that we can discuss it and hopefully get it voted out this
    week.
        She brings a wealth of knowledge and experience to the
    Committee today. A North Dakota native, Mrs. Mikesh is the
    third generation of her family's agriculture inspection and
    testing service. Her upbringing in the grain inspection field
    has continued to make her an asset to several industry
    organizations, including her current roles as President of
    AAGIWA and Vice President of North Dakota Grain Inspection. She
    is also Chair of USDA's FGIS Advisory Committee.
        Mrs. Mikesh's in-depth industry understanding and
    leadership make her a fantastic representative of the grain
    sector as we look to fine-tune FGIS. I am grateful to Mrs.
    Mikesh's willingness to share her testimony today.
        Finally, I am going to go ahead and introduce Mr. Wipf.
    Again, same situation as Senator Thune. He is busy running the
    place, and he is one of our most active Members. Mr. Wipf
    manages a soybean, corn, and wheat farm with his wife and
    parents in South Dakota. I think your wife is with us, isn't
    she? Very good. It is good to have you here. Upon graduation
    from Dordt University in Iowa, he returned to the farm and led
    their family business in expanding to alfalfa.
        Go ahead, John.
        [Laughter.]
        Chairman Boozman. I just told him that you are busy running
    the place.
        Senator Klobuchar. Not too busy for a grain inspection
    hearing.
        Senator Thune. Of all the super exciting topics we get to
    deal with here, but it is an important one.
        Well, thank you, Mr. Chairman and Ranking Member Klobuchar,
    for having today's hearing. I appreciate the chance, as always,
    to serve on this Committee and to advocate on behalf of South
    Dakota's farmers and ranchers. Production agriculture is so
    important to our state. It is our number one industry, and we
    are very blessed to have people represented like Brandon Wipf,
    so it is nice to have you here. I had an opportunity--he was in
    town with the South Dakota Soybean Association and Growers here
    just a few weeks ago. Thanks again for making the trip out to
    D.C. and representing our state's soybean growers.
        I think, as you were starting to say, Mr. Chairman, he
    served on the American Soybean Association board since 2017,
    held an appointment to the CFTC Ag Advisory Council, has spoken
    in support of U.S. agricultural trade on multiple continents,
    and most recently appointed by Governor Larry Rhoden to a
    vacancy in the South Dakota State Senate.
        Again, welcome, Brandon. Good to have you here. I think
    they raise about 1,200 acres of soybeans, and on top of that,
    some corn and wheat, among other things, with his family. I
    think an engineer by training, correct? Making a difference on
    so many levels in South Dakota agriculture and for the future
    of our state and country. Brandon, welcome. Welcome back. We
    look forward to hearing from you and our other panelists today,
    too, on a subject that has great importance and relevance to
    our state and to a lot of states across the country. Thank you.
        Chairman Boozman. Thank you.
        Mr. Friant, you are recognized for your testimony.

       STATEMENT OF NICHOLAS FRIANT, CHAIRMAN, GRAIN GRADES AND
        WEIGHTS COMMITTEE, NATIONAL GRAIN AND FEED ASSOCIATION,
                             CHANHASSEN, MN

        Mr. Friant. Chairman Boozman, Ranking Member Klobuchar, and
    Members of the Committee, thank you for the opportunity to
    appear before you today to provide the perspective of the
    National Grain and Feed Association on reauthorizing the U.S.
    Grain Standards Act. I am Nick Friant, the Director of Raw
    Material Quality and Regulatory at Cargill and Chairman of
    NGFA's Grain Grades and Weights Committee.
        Cargill is proud to be a longtime participant in the U.S.
    grain export system and member of NGFA. Since 1896, NGFA has
    represented grain industry members that operate more than 8,000
    facilities. This includes farmer-owned cooperatives and
    multinational grain exporters. Together, we rely on a strong,
    consistent, and transparent official inspection and weighing
    system to deliver confidence and value across the global supply
    chain.
        We urge Congress to reauthorize the U.S. Grain Standards
    Act in a timely and bipartisan manner. Doing so will provide
    certainty to farmers, grain handlers, and international
    customers who depend on the integrity of the U.S. official
    grain inspection system.
        I want to focus on two core issues that are top priorities
    for our industry in this reauthorization. First, investment in
    grain grading technology to speed and improve the inspection
    process; and second, strengthening the emergency waiver
    authority to ensure continuity and flexibility in grain export
    inspection services.
        The U.S. grain inspection system has long set a global
    benchmark for quality and reliability. While the basic
    framework of grain standards has remained stable over time, the
    international grain market has become increasingly competitive.
    Thus, our inspection and grading systems must evolve
    accordingly. Today, FGIS still relies on legacy technologies
    for determining grade factors that ultimately influence a
    commodity's value and fungibility. FGIS must prioritize
    research, development, and validation of modern grain grading
    technologies that improve accuracy, speed, and consistency.
        The agency should actively collaborate with industry and
    academia to identify innovative tools that can reduce human
    error and improve grading objectivity. Furthermore, we believe
    that new technologies can help the agency drive efficiencies,
    reduce costs, and address the staffing challenges it faces, all
    of which ultimately benefit U.S. farmers, agribusinesses, and
    rural economies. We believe the USDA should allocate dedicated
    resources, both staff and funding, to expedite this process.
        NGFA and its members are ready and willing to partner with
    USDA and FGIS to pilot and implement new technologies, provided
    there is a clear pathway for scientific validation,
    standardization, and eventual deployment. Therefore, we have
    worked with our partners at AAGIWA and the American Soybean
    Association on language for the U.S. Grain Standards
    Reauthorization Act that will provide FGIS with the necessary
    tools to focus their resources on this important issue. We
    encourage the Committee to approve the proposal.
        The second central area we encourage Congress to address is
    the need for enhanced flexibility in issuing emergency waivers
    of official inspection requirements during service disruptions.
    The 2015 reauthorization wisely included provisions requiring
    FGIS to act transparently when official services are disrupted
    at export ports.
        Let me be clear. The U.S. industry strongly supports the
    requirement for mandatory official inspection and weighing of
    export grain. It is fundamental to preserving market integrity
    and the credibility of our supply chain. During natural
    disasters or other force majeure events, or in rare instances
    where buyers and sellers mutually agree to waive inspection due
    to service disruptions, the act must allow for pragmatic
    flexibility.
        We recommend that Congress revise the act to clarify the
    definition of emergency and authorize FGIS to issue conditional
    waivers. Further, the waiver would be applied provided that the
    buyer and seller voluntarily agree, the absence of an official
    inspection does not impair the transaction, and such a waiver
    would not undermine the objectives of the act. Establishing a
    transparent and predictable contingency plan for future
    disruptions would provide exporters, importers, and customers
    with the confidence that the flow of U.S. grain can continue
    during unexpected challenges without compromising the overall
    integrity of the system. While I have highlighted two core
    priorities, we are ready to discuss other elements of the act,
    including advisory committee functionality, clarifying the use
    of user fees, and user fee cap reform.
        The U.S. Grain Inspection System is a foundation of our
    country's reputation as a reliable agricultural supplier.
    Timely reauthorization of the U.S. Grain Standards Act,
    combined with the enhancements we have outlined today, will
    ensure that our inspection system continues to meet the high
    expectation of U.S. producers and our global customers.
        As Chairman of the NGFA's Grain Grades and Weights
    Committee, and on behalf of Cargill and the broader industry, I
    would like to express my sincere appreciation for your
    oversight and bipartisan leadership on this issue. We look
    forward to working with you to modernize and strengthen this
    vital act. Thank you for the opportunity to testify today, and
    I will welcome your questions.
        [The prepared statement of Mr. Friant can be found on pages
    22-32 in the appendix.]
        Chairman Boozman. Thank you. Mrs. Mikesh.

      STATEMENT OF KIA MIKESH, PRESIDENT, AMERICAN ASSOCIATION OF
           GRAIN INSPECTION AND WEIGHING AGENCIES, FARGO, ND

        Mrs. Mikesh. Good morning. Thank you, Chairman Boozman and
    Ranking Member Klobuchar, for prioritizing this important issue
    and working together to hold this bipartisan hearing. My name
    is Kia Mikesh, and I am privileged to serve as the President of
    the American Association of Grain Inspection and Weighing
    Agencies. I am also the Vice President of North Dakota Grain
    Inspection, the third generation of my family, to help lead the
    business.
        AAGIWA's members are agencies delegated and designated by
    USDA's Federal Grain Inspection Service to weigh and inspect
    the Nation's grain. From the public agencies, such as the State
    Departments of Agriculture of Washington and Alabama, to
    private agencies like my own, AAGIWA's members work alongside
    USDA's FGIS to provide essential support to the agricultural
    economy. The U.S. Grain Standards Act authorizes this unique
    public-private partnership to carry out its uniform standards
    and export grain inspection mandate.
        While FGIS and certain state agencies weigh and inspect
    every load of grain on an export vessel, state and private
    agencies will conduct nine times as many inspections before
    grain ever reaches port. At all hours of the day and night, our
    inspectors are at railyards, grain elevators, and in the lab.
        Yes, we work to maintain trust in U.S. grain contracts, but
    we are also testing for toxins harmful to Americans and our
    livestock herds. The export inspection mandate underlies
    official inspection, but it also allows a uniform voluntary
    inspection system to provide trust in U.S. grain, no matter
    whether it is destined for export or for domestic feed, food,
    or biofuels production. The significance of this system might
    not be obvious, but it helps explain why America remains the
    world's leading agricultural exporter.
        Before the 1976 act, our grain markets were inefficient,
    even chaotic. Markets did not trust U.S. grades and weights,
    which meant that producers and agribusinesses earned lower
    prices abroad than their grain was really worth. Today, thanks
    to official inspection, U.S. grain standards and quality are
    the gold standard of the world. Buyers will pay a premium for
    American grain, giving our farmers and exporters a critical
    competitive edge.
        American standards are the universal reference for grain
    contracts. Even transactions that never touch our country rely
    on them. Our system is so successful that changes to the act
    should always be weighed very cautiously, but the Committee
    should also know that cracks are beginning to show, and
    maintenance is required. Grain inspection has relied on the
    same basic technology for 100 years. As the ag supply chain has
    become more efficient, inspection remains reliant on an ever-
    shrinking pool of highly trained human inspectors. It is time-
    and personnel-intensive. The lack of technological advancement
    is creating unnecessary costs to taxpayers, exporters,
    producers, and our own agencies. We have become the bottleneck.
        Without new technology, the consequences could be stark.
    The rigorous standards that were yesterday's privilege will be
    tomorrow's burden, simply because we lack modern tools to
    implement them efficiently. On the other hand, the efficiencies
    reaped by grain inspection technology would reduce costs in the
    food supply chain and the direct costs to taxpayers of
    maintaining the inspection system.
        The barriers to new technology reflect the fact that FGIS
    and official agencies have a near monopoly on the data and
    expertise necessary to develop technology, but we are not R&D
    agencies nor venture capitalists. We need to be able to work
    flexibly with the private sector to find solutions to our
    unique problems and foster the conditions necessary for
    investors to take risks in our field.
        FGIS's dedicated staff have made a heroic effort to advance
    technology, but they need more than resources. They need
    flexibility that reflects the realities of the unusual small
    market for inspection technology. I urge the Committee to
    reauthorize the act with a small, modest toolbox of new
    authorities for FGIS to speed technology development.
    Specifically, Congress should clarify in the statute that FGIS
    may leverage official agencies for R&D, provide other
    transactions authority for inspection technology research and
    development, and establish a modest dedicated funding account
    through user fees and appropriations to support the evaluation
    and deployment of new technology. With these tools, FGIS can
    coordinate flexible partnerships with research institutions,
    technology developers, official agencies, and the grain trade
    so that promising technologies can be developed outside
    government, validated in the real world, and approved quickly
    once they reach FGIS.
        This reauthorization is an opportunity to modernize the
    most trusted inspection system in the world, ensuring it
    remains competitive, cost-effective, and resilient.
        I want to thank the Committee for recognizing the urgency
    of this issue and for your ongoing support of American
    agriculture and the inspection system that underpins it.
        I look forward to your questions.
        [The prepared statement of Mrs. Mikesh can be found on
    pages 33-36 in the appendix.]
        Chairman Boozman. Mr. Wipf.

    STATEMENT OF BRANDON WIPF, BOARD OF DIRECTORS MEMBER, AMERICAN
                     SOYBEAN ASSOCIATION, HURON, SD

        Mr. Wipf. Good afternoon, Chairman Boozman, Ranking Member
    Klobuchar, and distinguished Members of the Senate Committee on
    Agriculture. It is an honor to join you today to testify on
    behalf of the American Soybean Association regarding this
    Committee's review of the U.S. Grain Standards Act. My name is
    Brandon Wipf, and I am a soybean farmer from South Dakota. I
    also have the privilege of serving on the board of directors of
    ASA, which represents over 500,000 U.S. soybean farmers across
    the 30 main soy-producing states.
        Soybeans are the largest ag export in the U.S., and robust
    international trade is a priority for our industry. Market
    access and relationship maintenance would not be possible were
    it not for the trusted and reliable grain inspection and
    marketing efforts undertaken by the Agriculture Marketing
    Services Federal Grain Inspection Service, as authorized by the
    U.S. Grain Standards Act.
        For most soybean farmers, our main interaction with FGIS,
    its designated or delegated agencies, and the U.S. grain
    standards are at our local grain elevator. When I deliver my
    soybeans to the elevator, they are tested, sorted, and
    consolidated into larger lots for eventual shipment. The grain
    standards determine the price a farmer like me receives for
    their soybeans at the elevator, and I know the official grain
    grades provide our international customers with the knowledge
    that the commodities they receive have been assessed for
    quality, purity, moisture, and soundness.
        Recently, the industry conducted a series of conversations
    with stakeholders across the soybean sector, including farmers,
    inspectors, regulators, exporters, and international buyers
    about the value and perception of FGIS and the U.S. grain
    standards. While the full results of these conversations are
    still being evaluated, initial feedback shows that the value of
    the U.S. grain standards and federal inspection is extremely
    high for the soybean export value chain and for our
    international customers.
        Global customers consider FGIS to be the gold standard for
    grain grading. Inspections carry the weight of the U.S.
    Government, creating peace of mind for international customers
    and providing impartiality that private inspections may lack.
    Additionally, the standards are simple, and customers rely on
    that simplicity to mitigate risk. The ability to effectively
    hedge through futures markets is a key differentiator for U.S.
    origin soybeans. The longstanding simplicity and consistency of
    U.S. grain standards have allowed for the development of
    extensive futures and derivatives markets for U.S. products
    that promote true price discovery.
        The U.S. soybean industry has a strong relationship with
    FGIS, and when issues arise, we can address them in a manner
    that meets the needs of U.S. farmers while maintaining the
    integrity of those standards. Most recently, the U.S. soy
    industry worked with FGIS to review and remove soybeans of
    other color, or SBOC, as an official grade determining factor
    under the U.S. standard for soybeans. This was due to a rising
    occurrence of SBOC, resulting from a new soybean seed variety
    that had a tendency to produce off-color seed coats. This had
    no impact on the soybeans' protein, oil content, or quality,
    but farmers like me were being penalized because of the seed
    coat's color.
        In response to rising levels of SBOC, FGIS conducted a
    study on the functionality of protein and oil content of
    soybean samples containing varying amounts of SBOC. The results
    found no significant differences in the protein or oil content
    as compared to samples not containing this phenomenon. However,
    marketing concerns did remain, and FGIS took multiple meetings
    with industry, solicited feedback, and provided a notice of
    proposed rulemaking to remove SBOC from the U.S. standard for
    soybeans.
        In July 2023, a final rule was issued removing SBOC as a
    grade-determining factor for U.S. soybeans, a win for soybean
    farmers and an example of industry collaboration. Changing the
    standard for soybeans benefited farmers, exporters, and
    international customers by providing additional clarity and
    ensuring our trading partners knew that no matter what, they
    were still receiving the soybeans that they required.
        Reauthorization of the U.S. Grain Standards Act is vital
    for the continued success of U.S. soy in the international
    marketplace. On behalf of ASA, I thank the Committee for their
    timely attention to the expiring provisions of the U.S. Grain
    Standards Act. We appreciate the opportunity to share the
    importance of the FGIS system and look forward to working with
    this Committee to reauthorize the Grain Standards Act this
    year.
        Thank you, Senators, and I look forward to your questions.
        [The prepared statement of Mr. Wipf can be found on pages
    37-40 in the appendix.]
        Chairman Boozman. Leader Thune.
        Senator Thune. Thank you, Mr. Chairman. I will be very
    brief. We have got other Members here who want to ask
    questions, but I could just say I think we all recognize the
    importance of promoting U.S. agriculture on the world stage,
    which is why we must use every available tool to facilitate
    international trade to support farmers, grain processors, and
    exporters.
        As the United States engages and continues to engage in
    negotiations with our trading partners, we need to ensure that
    U.S. grains are seen as a reliable and high-quality product by
    foreign buyers. The Federal Grain Inspection Service works to
    maintain these standards so that our grain remains a reliable
    purchasing option.
        Mr. Wipf, could you maybe just explain in your view what
    impact on soybean markets in South Dakota and across the
    country would happen if the Grain Standards Act is allowed to
    expire?
        Mr. Wipf. Well, customers that buy from us do so under the
    auspices of these rules, and if those are allowed to lapse or
    if the funding for them is compromised, I think it would
    compromise the confidence that international buyers have in
    what they are purchasing from us. We urge a timely
    reauthorization.
        Senator Thune. Reauthorization. Okay. All right.
        A follow-up, and to anybody on the panel, but by providing
    impartial inspections and weighing services, FGIS has created a
    transparent, trustworthy system. I think we all agree that that
    system reduces the chances of price disparity and eliminates
    quality discrepancies. I say this to all of you. How have you
    seen the Federal Grain Inspection Service contribute to global
    grain price discovery, and what would be the potential
    consequences for international markets if FGIS services lapsed?
        Mr. Wipf. Well, you know, uncertainty is kind of a way of
    life in agriculture when you depend on the weather, but we try
    to do everything we can to remove as much uncertainty as we
    can, and we also understand those are the same priorities for
    our international buyers. Anytime you buy anything from a shirt
    to a car to a cargo of soybeans, you want to know what you are
    paying and what you are getting for it. If you know both of
    those things, I think you have a very good relationship. These
    rules are imperative to the continuation of our good
    relationships abroad.
        Senator Thune. Okay. Others? Mrs. Mikesh?
        Mrs. Mikesh. As part of my position, I work a lot with
    different associations to host trade groups that are coming
    over from all across the globe, and part of my presentation is
    going over what actually is the official grain inspection and
    the services that we do. What we do is unlike anywhere else in
    the world. After I am done with this hour-long presentation,
    the sparkle in their eyes, I know that sounds crazy, but they
    get so excited to buy our grain and the assurances that they
    are going to receive what it is that they are paying for, and
    they are always extremely impressed by what our system is.
        Senator Thune. Perfect. Thank you. Mr. Friant?
        Mr. Friant. I think, Senator, we have heard a couple times
    in the testimonies and in your remarks, the international buyer
    holds that USDA certificate as the gold standard. They want
    that when they buy from exporters like Cargill or other members
    of NGFA. If we lose the integrity and the guarantee of that
    certificate, I think it really hurts us as being recognized as
    that reliable supplier of quality grain.
        Senator Thune. Well, we want to be the reliable quality
    supplier and have people excited to buy. Thank you, Mr.
    Chairman.
        Chairman Boozman. Senator Hyde-Smith.
        Senator Hyde-Smith. Thank you, Mr. Chairman.
        We know that those who buy U.S. grain, both domestically
    and internationally, must trust our grain inspection system
    functions properly. We know how important that is, and I
    certainly appreciate all of you willing to testify today and
    give us some insight on that.
        This trust in a functional system ensures that farmers,
    merchandisers, and end users all know they are operating within
    a system that is transparent, that is consistent, and it is
    science-based. I hear regularly from farmers and grain elevator
    operators in Mississippi who rely on the grain inspection
    system to protect the value of their grain and to ensure that
    they are competing on a level playing field with everyone else.
    The Grain Inspection Advisory Committee plays an important role
    in helping advise the Federal Grain Inspection Service navigate
    the technical and policy challenges of implementing the Grain
    Standards Act.
        Mr. Friant, I am going to let you take this first one. I
    agree with your testimony that the Grain Inspection Advisory
    Committee serves a critical role in advising FGIS, and I
    appreciate your service and commitment on that committee and
    your enthusiasm as well. Given the technical nature of the
    grain standards and the weighing systems, the advisory
    committee's role is essential for ensuring that FGIS actions
    continue to facilitate the export of the world's highest
    quality grain grown by producers in Mississippi and across the
    country.
        Are there any recommendations you might make to improve how
    FGIS incorporates the advice and counsel by the advisory
    committee into the agency's decision-making process? Is there
    something that you would like to suggest today while you have
    our attention that we can listen to you on?
        Mr. Friant. Well, thank you very much, Senator, for the
    question. I appreciate that. The advisory committee is near and
    dear to my heart, having served three times and participate as
    a member of the public as often as possible. It has been a
    great public opportunity for industry and service providers and
    producers for public record to talk about the needs and what we
    want to see the agency do. We have seen some good work come out
    of that, and we have some recommendations in our testimony
    around how we can ensure that members are appointed to the
    committee in a timely manner.
        One of the areas that the committee has struggled with over
    the last handful of years is folks' term is a three-year term
    limit, and they roll off, and new folks are not nominated in
    time to be seated on the committee. We want to see some
    provisions around how existing members can stay on the
    committee, if their time expires at three years, until a new
    person has been appointed and nominated to serve and replace
    that person on the committee.
        Senator Hyde-Smith. Yes, it makes sense that you need that
    continuity, and you certainly do not need the void and the
    spaces there.
        I have a little more time left. I would like to highlight
    the importance of protecting the trade surplus in the United
    States has historically maintained the grain and oilseeds.
    While overall agriculture trade surplus has evaporated into
    what USDA now projects to be a $49 billion deficit in 2025,
    grain continues to be the bright spot for agriculture. You
    know, in fact, America enjoys $65 billion of trade surplus on
    U.S. grains and oilseeds, very exciting.
        This is a credit to our farmers who continue to grow the
    highest quality grain in the world, and it is a credit to our
    transportation system, our infrastructure, including the
    critical American waterways, highways, and rail systems that
    ship this out. It is a result of decades of diligent work to
    develop and to grow these markets and to protect these markets.
        Mississippi farmers contribute significantly to our
    country's grain production, particularly through crops like
    rice, soybeans, and corn. These crops are exported down the
    Mississippi River and through the Gulf of America, let me get
    that right, which supports several grain transport operations
    in my home state. Ensuring we maintain the integrity of our
    inspection system is of paramount importance to me, especially
    as it relates to our export markets.
        This question is for all of you. What are some of the
    challenges that we face with grain exports? What can we do in
    the Grain Standards Act's reauthorization to help overcome
    those challenges? I am a little bit over, but if you guys are
    allowed to answer that right now.
        Mrs. Mikesh. Thank you for that question. One of the things
    that you will likely hear each of us talk about is the need for
    developing technology. One of those reasons is down at the
    exports, the port locations, there is not consistency of the
    volume that there used to be. I remember when I was younger, we
    would have--it was always harvest time at harvest time. We had
    to staff up for that, and then usually there was natural
    attrition, and then you would get through the summers.
        Well, because of just how the market has changed, there are
    a lot of ups and downs as far as volume. One thing that we
    really think could help in maintaining consistency is bringing
    forth more technology within the grain inspection system so
    that we can rely on this technology and more consistency among
    people. That is something that we think could really help.
        Senator Hyde-Smith. Thank you.
        Mr. Wipf. The only thing that comes to mind for me is, as
    farmers have added on-farm storage for grain, it has changed
    the profile of when that grain comes to market. If there are
    areas where government can target funds to help farmers in
    certain areas, to plus up their storage, to maybe make it a
    little bit more predictable, and then also education for
    farmers because using that storage effectively does not happen
    by accident. You do have to know what you are doing, so I think
    there is an educational piece there too. Thank you.
        Senator Hyde-Smith. Very good points.
        Mr. Friant. I think just a timely and bipartisan
    reauthorization of the U.S. Grain Standard Act. It ensures that
    continuity and consistency of the program. Then to agree with
    my co-witness, Mrs. Mikesh, we have talked about it for a
    couple years now, technology. What technology can we adapt and
    adopt for grain grading? I think it is paramount.
        Senator Hyde-Smith. What kind of technology are you
    referring to?
        Mr. Friant. I might defer to Kia, but we have been looking
    at a lot of different possibilities. I think the biggest one--
    and frankly, I have been hearing about it since the first day I
    walked into Cargill over 20 years ago, and it is visual imaging
    technology, to be able to look at a grain sample and say, what
    is the level of damage?
        Senator Hyde-Smith. Got you. Yes, very important and could
    speed up things. Thank you, Mr. Chairman.
        Chairman Boozman. Senator Hoeven.
        Senator Hoeven. Thank you, Mr. Chair. I did not get her
    right at the beginning, but I definitely want to take just a
    few minutes to talk about Kia from Fargo, North Dakota. What
    did you do with your buddy from Grand Forks? Is he around here?
    Okay, there he is. Good. Okay, glad you are both here. I want
    to welcome you both and just make sure that if somebody did not
    bring it up sooner, that Kia is third generation in the grain
    inspection business, which is pretty cool, Vice President of
    North Dakota Grain Inspection, but President of the American
    Association of Grain Inspection and Weighing Agencies at a very
    young age, I must say, so pretty awesome.
        Her grandfather, Steve Adams, began his career at North
    Dakota Grain Inspection shortly after its founding in 1968, and
    I think it is pretty awesome that you are following in your
    grandfather's footsteps.
        I am pro grandpas----
        [Laughter.]
        Senator Hoeven [continuing]. and I am pro grandkids
    following in grandpa's footsteps. So is the Chairman. You can
    tell by looking he is a grandpa too, right? Yes. Just because
    he looks real happy, not because he looks old or anything like
    that. It is so awesome that you are here, and obviously, your
    input is very important, along with your colleagues as far as
    the Grain Inspection Service.
        I am actually going to shift gears a little. I thought
    Senator Hyde-Smith, who was in the cattle business, had great
    questions on the grain side, obviously knows agriculture. I
    want to ask what you all are hearing from our farmers and our
    ranchers in terms of grain sales.
        You know, in our part of the world, obviously they are
    combining soybeans, corn, other crops. Particularly for some of
    the younger producers and those that are more leveraged, they
    have to sell right off the combine or at least contract. You
    know, we are hearing concerns, you know, whether it is corn or
    soybeans or other crops.
        Just talk to us a little bit on what you are hearing in
    terms of the marketing of those crops and just any ideas you
    have along those lines to make sure that we are not only well
    informed but doing whatever we can to be helpful.
        Kia, we get to start with you because you are from North
    Dakota. Then we are going to go to South Dakota out of
    deference to the Majority Leader. Then Nick, you are the
    cleanup hitter. You look like a cleanup hitter, like you can
    put it out of the park.
        Mrs. Mikesh. Thank you so much for that question. Grain
    sales are not something that is within my expertise. However,
    what I have been very proud of that all the grain inspection
    agencies like ours do is we help make sure that there is
    consistency in the grading that is done. If you are in North
    Dakota and there is a grain elevator selling their soybeans or
    their corn, and it is going out to the PNW, they are meeting
    the consistency of when they are having it graded at the origin
    versus destination, and that is something that is paramount to
    make sure that you are able to sell your grain properly and
    give you the best outcome that you can have. From my
    perspective, that is one thing that we do.
        Mr. Wipf. Well, I will start, Senator Hoeven, by saying I
    was not invited here because of my expertise on getting it
    right, marketing my grain every time. Some days you feel like a
    hero, and some days you just do not.
        Discussions amongst farmers about the sales that they make
    are sometimes--it is a difficult topic because it comes right
    down to how much money are you making, and when you grow up on
    a farm, you do not talk about that. We are taught to be very
    humble about things. When you get it right, you maybe do not
    talk about that. When you really blow it, you would be sure
    to----
        Senator Hoeven. An aggressive farmer is one that looks at
    the other guy's shoes instead of his own shoes.
        Mr. Wipf. Yes. You know, you will go down to the coffee
    shop and you are more likely to talk about the things that you
    have gotten wrong than right, counterintuitively, so it is
    sometimes hard to know exactly where my peers are at. I am on a
    learning curve just like everybody else. I am about 15 years in
    now as a farmer, and every year I learn something a little bit
    more.
        Basically, the thing that I try to tell younger producers
    is lay off as much risk as you can because there is no shortage
    of uncertainty in our business. The ability to use futures
    markets, which in turn rely on the issue before the Committee
    here today, to hedge that risk is, I just cannot stress the
    importance of that enough.
        Senator Hoeven. Then tell me, how you are marketing your
    crop this year?
        Mr. Wipf. Well, I am probably 40 to 50 percent sold on my
    row crops.
        Senator Hoeven. You did that earlier in the year?
        Mr. Wipf. Yes, staged out throughout the year. We are right
    in the middle of wheat harvest right now, so I am not that
    popular with my dad, by the way, taking a quick trip to D.C.
    this time of year. No, we are fine. We are selling some of that
    right off the combine because we are looking at a really big
    corn crop potentially coming in. We are going to need all the
    storage we have.
        Senator Hoeven. Are you having any trouble moving that
    crop?
        Mr. Wipf. No. I might not like the price I am getting right
    now, but there is no trouble.
        Senator Hoeven. That is not a function of the inspection
    service and----
        Mr. Wipf. No. No, sir. No. I would love to be able to sit
    on it and wait for maybe a little better price, but we do see a
    pretty big crop coming this fall, and we are going to need all
    of the space on our farm available for that just to keep the
    combines moving.
        Senator Hoeven. You are moving the wheat right off the
    combine. You are not having trouble getting that contracted?
        Mr. Wipf. No, sir. No.
        Senator Hoeven. Okay. All right. You are making room for
    row crop with the idea you may hold it?
        Mr. Wipf. Yes. Just because corn in particular is a high-
    volume crop, you want on-farm storage so you can keep that
    combine moving. If you are in line at the elevator waiting, you
    do not get much done in a day.
        Senator Hoeven. Yes.
        Mr. Wipf. Yes.
        Senator Hoeven. Okay.
        Mr. Friant. I am not sure how the cleanup hitter is going
    to follow that one up.
        Senator Hoeven. Well, you see it directly, right, in terms
    of buying crop and what farmers are doing. What are you seeing?
        Mr. Friant. In my role at Cargill, I do not deal with the
    buying and selling. They call me when we have a problem with
    the quality or the Grain Standards Act or trying to manage
    inventory and storage. When I have market questions, I candidly
    walk over to the trading floor and talk to them and let them
    handle it. I think it is----
        Senator Hoeven. Last time you did that, what did they tell
    you?
        Mr. Friant. They told me to go away.
        [Laughter.]
        Mr. Friant. Stay in my lane. I think that is the beauty of
    the U.S. Grain Standards Act, right? Kia kind of alluded to it,
    as did Brandon, right? Whether it was riding the truck with my
    dad to deliver to Minooka Grain and Lumber in my hometown, or
    when I was grading grain in Topeka, Kansas, or when I worked in
    New Orleans at Reserve at our export terminal, U.S. No. 2
    soybean was the same. U.S. No. 2 was the same in Minooka,
    Topeka, New Orleans, and the international buyer. That
    consistency, and we heard about it, that is how, you know, the
    international market and the domestic market uses it for price
    discovery, so we know it is going to be the same. I think that
    is the beauty of the U.S. standards is it does not matter where
    you are at in the U.S. and for most world buyers, you know that
    you are getting U.S. No. 2 soybean, and you have got that full
    backing of that Federal Grain Inspection Service certificate.
        Senator Hoeven. Yes, with the indulgence, Chairman, one
    final question. Are we doing a good job on the consistency? Are
    other countries doing a good job on consistency, or is that an
    advantage we have in the international markets?
        Mr. Friant. I would say, yes, we are doing a very good job
    with consistency. We think, as we have shared in our
    testimonies, there are some things, particularly around
    technology that we could do that would help the consistency,
    help the efficiency. Yes, overall, I think we are doing a very
    good job. That is why we continue to say today and always that
    U.S. certificate is the gold standard. I think we are probably
    biased on this panel that we are better in the U.S. than our
    foreign competitors, and I think there have been some studies
    that show the value of the U.S. certificate and the U.S., you
    know, grain supply chain being reliable and consistent.
        Mrs. Mikesh. I would agree. I see that we are having
    consistency across the Nation. However, in order to obtain that
    consistency, it takes a lot of time to grade that grain. When
    our team members are out at grain elevators, they are--when I
    was younger, I should say, I used to see where a train would
    take a few days to load. That gives a lot of time for a grain
    inspector to sit there and pick through the grain, pick through
    each individual kernel. Now we are sitting at grain elevators
    that will load 115 rail cars in under five hours. Even if you
    have multiple inspectors there, there is not always a lot of
    space, so that is difficult as well. It is hard to keep up with
    the loading process.
        That is where technology can come into play and help as an
    aid in us to be able to consistently grade that grain and as
    well as help places like Cargill and farmers so that they can
    keep their grain moving at a fast pace.
        Senator Hoeven. Thanks again to all of you, appreciate it.
    Thank you, Mr. Chair.
        Mr. Wipf. Well, I was just going to say, do not take my
    word for it. I will tell you what I see at foreign ports when I
    visited there and visited with the management and the blue-
    collar folks unloading those vessels. I have seen the issues
    they deal with with some of our competitors' cargos, and they
    very much prefer when they are unloading a cargo from a U.S.
    destination. It does not matter whether it is the PNW, off the
    Gulf, off the Eastern Seaboard. They know they are getting that
    consistent product because of our grading standards.
        Senator Hoeven. That is really good to hear. Again, thanks
    to all of you.
        Chairman Boozman. Senator Marshall.
        Senator Marshall. All right. Thank you, Chairman, and
    welcome to our guests today.
        I want to probably focus on trade for the first half. The
    tariffs get all the ink, but the non-tariff barriers is my
    biggest concern when it comes to agriculture. I want to ask
    some questions regarding how do our grain standards help
    protect us from non-tariff barriers? And/or do you have
    examples when you feel like other countries have used that
    against us one way or another, that they are not accepting our
    grading system? Maybe, Mrs. Mikesh, you would not mind starting
    if you have a thought.
        Mrs. Mikesh. Thank you, Senator. Yes, from what I see in my
    perspective with an official grain inspection is if there are
    complaints overseas about any shipments of grain, it is
    wonderful having the FGIS and USDA backing on that. FGIS has
    individuals that can work through that. Since everything that
    we do, the paper we write on, the certificates we do, is all
    considered federal property. As those questions come through,
    we are able to kind of go backward and see down to exactly when
    a stowage exam of looking inside a container was done and what
    was found during that. I think that that is something that has
    been very beneficial for our trading partners across the seas
    that they know that they can figure out what is going on, and
    it is a little more difficult for that to be used when we have
    very good records of what happened for those shipments.
        Senator Marshall. Despite that, are there examples, though,
    when they ignore our grading system and reject our grains?
        Mrs. Mikesh. That is something that I do not have expertise
    in. I apologize.
        Senator Marshall. That is fine. Mr. Wipf, any comments?
        Mr. Wipf. I had heard conversations about sometimes a
    foreign buyer might have become accustomed to getting maybe a
    little bit better than what the grade actually is. Then if you
    ever deliver at the grade, then they feel they have a
    complaint. You say, well, okay, what were you looking for? You
    know, let's work through this. They describe what they wanted,
    and you say, well, you just described No. 1 corn, and you paid
    for No. 2 corn. It is very nice to have this grading system to
    fall back on and say, you want better? We have better. Let's
    have that conversation. It is just that level playing field and
    that kind of ``good fences make good neighbors'' sort of rules
    that we can all agree on.
        Senator Marshall. Okay. Mr. Friant, anything to add?
        Mr. Friant. Yes. I mean, I think we would make the case--
    and I, through my craft, dealt with non-tariff trade barriers.
    We make the case that is why we have the U.S. grain standards,
    right? The U.S. grain standards help address some of those
    concerns, whether it is damage or insects or other quality
    factors. That is why we have them.
        I think Mrs. Mikesh made a great point. We have got that
    backing. If there is a complaint from a foreign buyer, there is
    an official process. FGIS gets involved and they re-look at the
    sample and provide an official report or a formal report. In my
    experience, almost every single time, we proved that we loaded
    what we said we were going to load, and the quality met what
    the buyer was expecting to get.
        Senator Marshall. Okay. With the time I have remaining, I
    want to kind of put on my MAHA hat here and give you all a
    chance to brag too. I think there was a misconception out there
    that we are not testing grain, that we are not testing what we
    milled for--let's maybe focus on pesticides for a second. I
    think that is the biggest concern. Just describe what we are
    doing and what those standards look like. What type of
    reassurance would you give my daughter, the mother of my two
    grandsons, that American grain is safe? Maybe go in reverse
    order, Mr. Friant. Friant, go first, perhaps.
        Mr. Friant. Sure. I would start with, I eat the products
    made out of the grain. I am happy to feed them to my family. My
    daughter is here today without----
        Senator Marshall. So far, so good?
        Mr. Friant. Yes. We have a really strong system here,
    right? EPA regulates, FDA enforces. We have strong programs to
    ensure that proper residue limits are set, and they are
    monitored, and we do not see those in our supply chain.
        Senator Marshall. Okay. Mr. Wipf.
        Mr. Wipf. Yes. My role as the farmer is really to
    understand the pesticide labels, make sure that I am applying
    those right, and then to every extent that I can, invest in the
    latest technology so that I am able to apply timely and
    properly. As long as I am doing that, that is kind of the last
    stage I have in it, but I stand behind every bushel that I
    produce.
        Senator Marshall. Then you take it to the elevator, I am
    going to say elevator, maybe take it different places, and the
    grain is tested there for residues.
        Mr. Wipf. I do not believe each load. I am not really sure
    at what point that that happens. The ticket I get when I dump a
    truck of grain mainly deals with moisture, maybe protein
    content, mainly things that deal with will this grain spoil too
    quickly, or will it stay in condition until it gets to the end
    customer?
        Senator Marshall. Right.
        Mr. Wipf. Perhaps there is somebody better than me to
    address your question.
        Mrs. Mikesh. Thank you for that question. That is something
    that I am very passionate about as far as making sure that the
    quality of our grain is there.
        Some of the factors that we look for that are important in
    respect to what you are discussing is mycotoxins, so making
    sure that corn does not have aflatoxin or vomitoxin in it or
    our wheat does not have ergot or vomitoxin or many other
    factors where they are safety factors to make sure that either
    the end consumer, whether that is a human or cattle is going to
    be okay and be healthy through that.
        I think that one of the things that I see is that, you
    know, I spoke a little bit in my testimony that exports are
    mandated to have quality inspection but nothing domestically
    is, and so our entire official agency is done on mainly
    permissive work. Even though it is not mandated under the Grain
    Standards Act that the grain at an elevator in Castleton, North
    Dakota, is done, the whole entire system finds that essentially
    mandatory in their own right. The buyers will require the
    sellers to provide them with heavy testing. We have grades on
    every single railcar that goes out that show those different
    damages that can be very toxic--some of them can be--but then
    also doing mycotoxins on every railcar. I think that shows the
    commitment to safety in the industry.
        Senator Marshall. Are you testing for pesticides as well?
        Mrs. Mikesh. We are not testing for pesticides. That does
    go to a different level. Grain inspections, we do more of the
    quicker analysis that they can do to buy and sell, but I know
    that FGIS does pesticide residue testing, as well as other
    private agencies.
        Senator Marshall. Okay. All right. Mr. Friant, are you
    wanting to add something? Nope, okay.
        Thank you so much, Chairman.
        Chairman Boozman. Mrs. Mikesh, your testimony highlights
    the request for official agencies to take part in research
    activities. As the Vice President of an official agency, can
    you speak to the impact this clarification would have on your
    family's business and the inspection system as a whole?
        Mrs. Mikesh. Thank you, Chairman. Yes, we have seen over
    the years that FGIS has worked very hard to help get technology
    going, but it is a difficult process. Nick and I, a few years
    back, went to an agricultural marketing services innovation
    summit, and we were there with, you know, fruits and vegetables
    and organics. Everyone else was having a little bit easier of a
    time finding technology to help aid in their inspection
    process.
        You know, when people think that, you know, you are in an
    isolated area and you feel maybe that you are a unicorn,
    everything is a lot more difficult for our area. We found that
    for grain, that was definitely true. You know, when you are
    looking at a tomato, you can see things pretty visibly, whereas
    we are looking at tiny little kernels and looking at them
    individually per sample we do for railcar.
        With that, there is a lot that has been going on in
    technology. There is definitely a bottleneck in having the
    Federal Government do all of the testing or all of the analysis
    on it to determine if something is fit for purpose.
        One of the things that we discuss in the advisory committee
    is, you know, new technologies will come through, but you
    always have to make sure that it is the same or better. That is
    difficult to do and takes a lot of time. One of the things that
    we have discussed is that official agencies could take on some
    of that in the beginning, let's say 80 to 90 percent.
        When I was talking about mycotoxins earlier, that is where
    you have seen the most evolution in technology is things that
    there is a great scientific base that is outside of the
    official agencies' purview as well, whereas when you are
    talking about visual grading, that is something that there are
    very few that are experts in, FGIS being one, as well as
    official agencies.
        We think that official agencies would be able to take on a
    lot of that and help escalate the timeliness of getting
    technology improved, as well as being able to see a lot of
    real-life examples that happen right away, instead of figuring
    it out when something is already approved.
        You know, our agency provides service in nine states. That
    is a lot of different types of damages, different types of
    corn, soybeans, and different geographical environments. We
    think that that would be an added benefit for official agencies
    to help as well.
        Chairman Boozman. Very good.
        Mr. Wipf, you outlined the successful and swift action by
    FGIS and stakeholders to remedy the ``soybeans of other color''
    issue a few years ago. Can you speak to the need for this
    process to be adaptable to new seed technologies that maintain
    the expectation of consistency and quality worldwide?
        Mr. Wipf. Yes, so to me that situation that I highlighted
    with the soybeans of other color, it just shows us that the
    system worked. It is robust enough to deal with a curveball we
    had not seen before maybe. Luckily, we were able to work
    through that process and very grateful that we were able to do
    so and that nothing was disrupted for the farmers. I think it
    is important that we continue to offer that flexibility because
    of the unknown unknowns. We do not know maybe what the next
    sort of similar situation might be, but I am grateful that the
    system worked.
        Chairman Boozman. Very good. Mr. Friant, you served many
    years on the Grain Inspection Advisory Committee. Can you share
    additional insight in the importance of the advisory committee
    and if the committee has tried to tackle some of the priorities
    you raised today?
        Mr. Friant. Yes, thank you, Chairman. I appreciate that
    question. Very much so the advisory committee has served a
    really important function for the agency and then for industry
    producers, official agencies, as I mentioned previously, that
    public forum to have the conversations and for FGIS to hear
    from stakeholders, what do we need.
        I think one really good success story--and I want to thank
    Senator Hyde-Smith, and Senator Hoeven had to leave--dealing
    with FDA actionable grain, and that was something that the
    committee brought to the agency and said here are some
    concerns, here are some changes we would like to see happen.
    FGIS took those recommendations from the committee back, worked
    with FDA, and then, as I mentioned, the support from Senator
    Hyde-Smith and Senator Hoeven to help the process along. We
    ended up with some new directives and direction that has made
    it significantly easier for the industry to manage. Really,
    truly a good success story of how that advisory committee
    worked, and the agency took what was recommended and turned it
    into something actionable for the industry.
        Chairman Boozman. Very good.
        Senator Hyde-Smith, have you got any other questions or
    comments?
        Senator Hyde-Smith. I do not have anything to add.
        Chairman Boozman. Well, thank you again, witnesses, for
    being here. You did a tremendous job, and this was very, very
    helpful. This helps us understand how important it is for us to
    get our work done and get this reauthorized. We do appreciate
    the fact that you took time, especially when it brings you out
    of the field and things like that. Tell your daddy I am sorry.
        The record will remain open for five business days. Again,
    thanks always to all of the staff that worked so hard to make
    this happen on both sides.
        With that, the hearing is adjourned.
        [Whereupon, at 4:03 p.m., the Committee was adjourned.]

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                                A P P E N D I X

                                 July 29, 2025

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                             QUESTIONS AND ANSWERS

                                 July 29, 2025

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