100-418 - Omnibus Trade and Competitiveness Act of 1988
OMNIBUS TRADE AND COMPETITIVENESS ACT OF 1988
Public Law 100–418, as amended
102 Stat. 1107, as amended
100-418 - Omnibus Trade and Competitiveness Act of 1988
418
115–254
Statute Compilation
United States House of Representatives
Office of the Legislative Counsel
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
GPO Statute Compilations USLM converter, version 20210527.1
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Omnibus Trade and Competitiveness Act of 1988
Foreign Shipping Practices Act of 1988
Export Enhancement Act of 1988
Agricultural Competitiveness and Trade Act of 1988
10232
100
1988-08-23
100-418 - Omnibus Trade and Competitiveness Act of 1988
[
P.L. 100–418
,
102 Stat. 1107
,
Aug. 23, 1988
]
[As Amended Through P.L. 115–254, Enacted October 05, 2018]
[Currency: This publication is a compilation of the text of Public Law 100–418. It was last amended by the public law listed in the As Amended Through note above and below at the bottom of each page of the pdf version and reflects current law through the date of the enactment of the public law listed at https://www.govinfo.gov/app/collection/comps/]
[Note: While this publication does not represent an official version of any Federal statute, substantial efforts have been made to ensure the accuracy of its contents. The official version of Federal law is found in the United States Statutes at Large and in the United States Code. The legal effect to be given to the Statutes at Large and the United States Code is established by statute (1 U.S.C. 112, 204).]

TABLE OF CONTENTS1
^1
This table of contents is not part of the Act but is included for user convenience.
Sec. 1.
Short title and table of contents.
TITLE I—
TRADE, CUSTOMS, AND TARIFF LAWS
Sec. 1101.
Overall and principal trade negotiating objectives of the United States.
TITLE II—
EXPORT ENHANCEMENT
Part II—
Assistance to Poland
Sec. 2223.
Donation of surplus agricultural commodities.
Sec. 2224.
Use of Polish currencies.
Sec. 2226.
Joint commission.
TITLE IV—
AGRICULTURAL TRADE
Sec. 4001.
Short title.
Subtitle A—
Findings, Policy, and Purpose
Sec. 4101.
Findings.
Sec. 4102.
Policy.
Sec. 4103.
Purpose.
Subtitle B—
Agricultural Trade Initiatives
Part 1—
General Provisions
Sec. 4203.
Joint development assistance agreements with certain trading partners.
Part 2—
Foreign Agricultural Service
Sec. 4214.
Cooperator organizations.
Subtitle C—
Existing Agricultural Trade Programs
Sec. 4310.
Minimum level of food assistance.
SECTION 1.

SHORT TITLE AND TABLE OF CONTENTS.
(a)

Short title.—
This Act may be cited as the “Omnibus Trade and Competitiveness Act of 1988”.
* * * * * * *
TITLE I—

TRADE, CUSTOMS, AND TARIFF LAWS
* * * * * * *
SEC. 1101.
[19 U.S.C. 2901]

OVERALL AND PRINCIPAL TRADE NEGOTIATING OBJECTIVES OF THE UNITED STATES.
* * * * * * *
(b)

Principal trade negotiating objectives.—
* * * * * * *
(7)

Agriculture.—
The principal negotiating objectives of the United States with respect to agriculture are to achieve, on an expedited basis to the maximum extent feasible, more open and fair conditions of trade in agricultural commodities by—
(A)
developing, strengthening, and clarifying rules for agricultural trade, including disciplines on restrictive or trade-distorting import and export practices;
(B)
increasing United States agricultural exports by eliminating barriers to trade (including transparent and nontransparent barriers) and reducing or eliminating the subsidization of agricultural production consistent with the United States policy of agricultural stabilization in cyclical and unpredictable markets;
(C)
creating a free and more open world agricultural trading system by resolving questions pertaining to export and other trade-distorting subsidies, market pricing and market access and eliminating and reducing substantially other specific constraints to fair trade and more open market access, such as tariffs, quotas, and other nontariff practices, including unjustified phytosanitary and sanitary restrictions; and
(D)
seeking agreements by which the major agricultural exporting nations agree to pursue policies to reduce excessive production of agricultural commodities during periods of oversupply, with due regard for the fact that the United States already undertakes such policies, and without recourse to arbitrary schemes to divide market shares among major exporting countries.
* * * * * * *
TITLE II—

EXPORT ENHANCEMENT
SEC. 2001.

SHORT TITLE.
This title may be referred to as the “Export Enhancement Act of 1988”.
* * * * * * *
Subtitle B—

Export Enhancement
* * * * * * *
PART II—

ASSISTANCE TO POLAND
* * * * * * *
SEC. 2223.
[7 U.S.C. 1431 note; Public Law 100–418]

DONATION OF SURPLUS AGRICULTURAL COMMODITIES.
(a)

Authority to Donate.—
Notwithstanding any other provision of law, if the Secretary of Agriculture determines for each fiscal year that (1) a donation under this section would not limit the Secretary's ability to meet urgent humanitarian needs for agricultural commodities, and (2) such donation would not cause a reduction in the price of the same or similar agricultural commodities produced in Poland[,] the Secretary of Agriculture shall donate, under the applicable provisions of section 416(b) of the Agricultural Act of 1949, for each of the fiscal years 1995 through 1999, 8,000 metric tons of uncommitted stocks of eligible commodities of the Commodity Credit Corporation under an agreement with the Government of Poland that the Government of Poland will sell such commodities and that all the proceeds from such sales will be used by nongovernmental agencies for eligible activities in Poland described in section 416(b)(7)(D)(ii) of that Act (as amended by section 2225 of this Act) that have been approved, upon application, by the joint commission described in section 2226 and by the United States chief of diplomatic mission in Poland.
(b)

Definitions.—
For purposes of this section—
(1)
the term “eligible commodities” has the same meaning as is given such term in section 416(b)(2) of the Agricultural Act of 1949 and, in addition, includes feed grains, soybeans, and soybean products; and
(2)
the term “nongovernmental agencies” includes nonprofit voluntary agencies, cooperatives, intergovernmental agencies such as the World Food Program, and other multilateral organizations.
SEC. 2224.
[7 U.S.C. 1431 note]

USE OF POLISH CURRENCIES.
(a)

Use of Polish Currencies.—
Subject to subsection (b), nonconvertible Polish currencies (zlotys) held by the United States on the date of enactment of this Act pursuant to an agreement with the Government of Poland under the Agricultural Trade Development and Assistance Act of 19542 which are not assets of the Commodity Credit Corporation shall be made available, to the extent and in such amounts as are provided in advance in appropriation Acts, for eligible activities in Poland described in section 416(b)(7)(D)(ii) of the Agricultural Act of 1949 (as amended by section 2225 of this Act) and approved, upon application, by the joint commission described in section 2226 and by the United States chief of diplomatic mission in Poland.
^2
Sec. 3001(c) of the Food, Conservation, and Energy Act of 2008, Public Law 102–246, 122 Stat. 1821, provides that “
Any reference in any Federal, State, tribal, or local law (including regulations) to the ‘
Agricultural Trade Development and Assistance Act of 1954
’ shall be considered to be a reference to the ‘
Food for Peace Act
’.
”.
(b)

Availability of Currencies.—
Currencies available under subsection (a) are currencies available after satisfaction of existing commitments to use such currencies for other purposes specified by law.
* * * * * * *
SEC. 2226.
[7 U.S.C. 1431 note]

JOINT COMMISSION
(a)

Establishment.—
The joint commission referred to in sections 2223 and 2224 and in section 416(b)(7)(D)(ii) of the Agricultural Act of 1949 (as amended by section 2225 of this Act) shall be established under an agreement between the United States Government, the Government of Poland, and nongovernmental agencies (as defined in section 2223) operating in Poland.
(b)

Membership.—
The joint commission shall be composed of—
(1)
appropriate representatives of the Government of Poland;
(2)
appropriate representatives of nongovernmental agencies which are parties to the agreement described in subsection (a); and
(3)
representatives from the United States diplomatic mission in Poland, which may include a representative of the Foreign Agricultural Service.
* * * * * * *
Subtitle C—

Export Promotion
* * * * * * *
SEC. 2301.
[15 U.S.C. 4721]

UNITED STATES AND FOREIGN COMMERCIAL SERVICE.
(a)

Establishment.—
(1)

In general.—
The Secretary of Commerce shall establish, within the International Trade Administration, the United States and Foreign Commercial Service. The Secretary shall, to the greatest extent practicable, transfer to the Commercial Service the functions and personnel of the United States and Foreign Commercial Services.
(2)

Assistants Secretary of commerce and director general; other personnel.—
The head of the Commercial Service shall be the Assistant Secretary of Commerce and Director General of the Commercial Service, who shall be appointed by the President, by and with the advice and consent of the Senate. The Assistant Secretary of Commerce and Director General of the Commercial Service may appoint Commercial Service Officers and such other personnel as may be necessary to carry out the activities of the Commercial Service.
(3)

Coordination with foreign policy objectives.—
The Secretary shall take the necessary steps to ensure that the activities of the Commercial Service are carried out in a manner consistent with United States foreign policy objectives, and the Secretary shall consult regularly with the Secretary of State in order to comply with this paragraph.
(4)

Authority of chief of mission.—
All activities of the Commercial Service shall be subject to section 207 of the Foreign Service Act of 1980 (22 U.S.C. 3927).
(b)

Statement of Purpose.—
The Commercial Service shall place primary emphasis on the promotion of exports of goods and services from the United States, particularly by small businesses and medium-sized businesses, and on the protection of United States business interests abroad by carrying out activities such as—
(1)
identifying United States businesses with the potential to export goods and services and providing such businesses with advice and information on establishing export businesses;
(2)
providing United States exporters with information on economic conditions, market opportunities, the status of the intellectual property system in such country, and the legal and regulatory environment within foreign countries;
(3)
providing United States exporters with information and advice on the necessary adaptation of product design and marketing strategy to meet the differing cultural and technical requirements of foreign countries;
(4)
providing United States exporters with actual leads and an introduction to contacts within foreign countries;
(5)
assisting United States exporters in locating reliable sources of business services in foreign countries;
(6)
assisting United States exporters in their dealings with foreign governments and enterprises owned by foreign governments;
(7)
assisting the coordination of the efforts of State and local agencies and private organizations which seek to promote United States business interests abroad so as to maximize their effectiveness and minimize the duplication of efforts;
(8)
utilizing district and foreign offices as one-stop shops for United States exporters by providing exporters with information on all export promotion and export finance activities of the Federal Government, assisting exporters in identifying which Federal programs may be of greatest assistance, and assisting exporters in making contact with the Federal programs identified; and
(9)
providing United States exporters and export finance institutions with information on all financing and insurance programs of the Export-Import Bank of the United States, the Overseas Private Investment Corporation3, the Trade and Development Program, and the Small Business Administration, including providing assistance in completing applications for such programs and working with exporters and export finance institutions to address any deficiencies in such applications that have been submitted.
^3
Section 1470(d) of the BUILD Act of 2018 (division F of Public Law 115-254) provides for an amendment to strike “Overseas Private Investment Corporation” each place it appears in section 2301 and insert “United States International Development Finance Corporation”. Section 1470(w) of such Act states “The amendments made by this section shall take effect at the end of the transition period.”. Section 1461(2) of such Act defines the term “transition period” as follows: “The term ‘transition period’ means the period—(A) beginning on the date of the enactment of this Act; and (B) ending on the effective date of the reorganization plan required by section 1462(e).”. For details relating to the reorganization plan, see section 1462(e) of such Act.
(c)

Offices.—
(1)

In general.—
The Commercial Service shall conduct its activities at a headquarters office, district offices located in major United States cities, and foreign offices located in major foreign cities.
(2)

Headquarters.—
The headquarters of the Commercial Service shall provide such managerial, administrative, research, and other services as the Secretary considers necessary to carry out the purposes of the Commercial Service.
(3)

District offices.—
The Secretary shall establish district offices of the Commercial Service in any United States city in a region in which the Secretary determines that there is a need for Federal Government export assistance.
(4)

Foreign offices.—
(A)
The Secretary may, after consultation with the Secretary of State, establish foreign offices of the Commercial Service. These offices shall be located in foreign cities in regions in which the Secretary determines there are significant business opportunities for United States exporters.
(B)
The Secretary may, in consultation with the Secretary of State, assign to the foreign offices Commercial Service Officers and such other personnel as the Secretary considers necessary. In employing Commercial Service Officers and such other personnel, the Secretary shall use the Foreign Service personnel system in accordance with the Foreign Service Act of 1980. The Secretary shall designate a Commercial Officer as head of each foreign office.
(C)
Upon the request of the Secretary, the Secretary of State shall attach the Commercial Service Officers and other employees of each foreign office to the diplomatic mission of the United States in the country in which that foreign office is located, and shall obtain for them diplomatic privileges and immunities equivalent to those enjoyed by Foreign Service personnel of comparable rank and salary.
(D)
For purposes of official representation, the senior Commercial Service Officer in each country shall be considered to be the senior commercial representative of the United States in that country, and the United States chief of mission in that country shall accord that officer all privileges and responsibilities appropriate to the position of senior commercial representative of other countries.
(E)
The Secretary of State is authorized, upon the request of the Secretary, to provide office space, equipment, facilities, and such other administrative and clerical services as may be required for the operation of the foreign offices. The Secretary is authorized to reimburse or advance funds to the Secretary of State for such services.
(F)
The authority of the Secretary under this paragraph shall be subject to section 103 of the Diplomatic Security Act (22 U.S.C. 4802).
(d)

Rank of Commercial Service Officers in Foreign Missions.—
(1)

Minister-counselor.—
Notwithstanding any other provision of law, the Secretary is authorized to designate up to 16 United States missions abroad at which the senior Commercial Service Officer will be able to use the diplomatic title of Minister Counselor. The Secretary of State shall accord the diplomatic title of Minister-Counselor to the senior Commercial Service Officer assigned to a United States mission so designated.
(2)

Consul general.—
In any United States consulate in which a vacancy occurs in the position of Consul General, the Secretary of State, in consultation with the Secretary, shall consider filling that vacancy with a Commercial Service Officer if the primary functions of the consulate are of a commercial nature and if there are significant business opportunities for United States exporters in the region in which the consulate is located.
(e)

Information Dissemination.—
In order to carry out subsection (b)(7), to lessen the cost of distribution of information produced by the Commercial Service, and to make that information more readily available, the Secretary should establish a system for distributing that information in those areas where no district offices of the Commercial Service are located. Distributors of the information should be State export promotion agencies or private export and trade promotion associations. The distribution system should be consistent with cost recovery objectives of the Department of Commerce.
(f)

Cooperation in Federal Financing and Insurance Programs.—
To assist the Commercial Service in carrying out subsection(b)(9), and consistent with the provisions of section 13 of the Export-Import Bank Act of 1945, the Export-Import Bank ofthe United States, the Overseas Private Investment Corporation3, the Trade and Development Program, and the Small Business Administration shall each—
(1)
provide to the Commercial Service complete and current information on all of its programs and financing practices; and
(2)
undertake a training program regarding such programs and practices for Commercial Service Officers who are designated by the Assistant Secretary of Commerce and Director General of the Commercial Service.
(g)

Audits.—
The Inspector General of the Department of Commerce shall perform periodic audits of the operations of the Commercial Service, but at least once every 3 years. The Inspector General shall report to the Congress the results of each such audit. In addition to an overview of the activities and effectiveness of Commercial Service operations, the audit shall include—
(1)
an evaluation of the current placement of domestic personnel and recommendations for transferring personnel among district offices;
(2)
an evaluation of the current placement of foreign-based personnel and recommendations for transferring such personnel in response to newly emerging business opportunities for United States exporters; and
(3)
an evaluation of the personnel system and its management, including the recruitment, assignment, promotion, and performance appraisal of personnel, the use of limited appointees, and the “time-in-class” system.
(h)

Report by the Secretary.—
Nol tater than 1 year after the date of the enactment of this Act, the Secretary shall submit a report to the Congress on the feasibility and desirability, the progress to date, the present status, and the 5-year outlook, of the comprehensive integration of the functions and personnel of the foreign and domestic export promotion operations within the International Trade Administration of the Department of Commerce.
(i)

Pay of Assistant Secretary and Director General.—
Section 5315 of title 5, United States Code, is amended by adding at the end the following: “Assistant Secretary of Commerce and Director General of the United States and Foreign Commercial Service.”.
(j)

Definitions.—
For purposes of this Section—
(1)
the term “Secretary” means the Secretary of Commerce;
(2)
the term “Commercial Service” means the United States and Foreign Commercial Service;
(3)
the term “United States exporter” means—
(A)
a United States citizen;
(B)
a corporation, partnership, or other association created under the laws of the United States or of any State; or
(C)
a foreign corporation, partnership, or other association, more than 95 percent of which is owned by persons described in subparagraphs (A) and (B), that exports, or seeks to export, goods or services produced in the United States;
(4)
the term “small business” means any small business concern as defined under section 3 of the Small Business Act (15 U.S.C. 632);
(5)
the term “State” means any of the several States, the District of Columbia, or any commonwealth, territory, or possession of the United States; and
(6)
the term “United States” means the several States, the District of Columbia, and any commonwealth, territory, or possession of the United States. * * * * * * *
SEC. 2312.
[15 U.S.C. 4727]

TRADE PROMOTION COORDINATING COMMITTEE.
(a)

Establishment and Purpose.—
The President shall estab lish the Trade Promotion Coordinating Committee (hereafter in this section referred to as the “TPCC”). The purpose of the TPCC shall be—
(1)
to provide a unifying framework to coordinate the export promotion and export financing activities of the United States Government; and
(2)
to develop a governmentwide strategic plan for carrying out Federal export promotion and export cing programs.
(b)

Duties.—
The TPCC shall—
(1)
coordinate the development of the trade promotion policies and programs of the Umted States Government;
(2)
provide a central source of information for the business community on Federal export promotion and export financing programs;
(3)
coordinate official trade promotion efforts to ensure better delivery of services to United States businesses, including—
(A)
information and counseling on United States export promotion and export financing programs and opportunities in foreign markets;
(B)
representation of United States business interests abroad; and
(C)
assistance with foreign business contacts and projects,
(4)
prevent unnecessary duplication in Federal export promotion and export financing activities;
(5)
assess the appropriate levels and allocation of resources among agencies in support of export promotion and export financing and provide recommendations to the President based on its assessment; and
(6)
carry out such other duties as are deemed to be appropriate, consistent with the purpose of the TPCC.
(c)

Strategic Plan.—
To carry out subsection (b), the TPCC shall develop and implement a governmentwide strategic plan for Federal trade promotion efforts. Such plan shall—
(1)
establish a set of priorities for Federal activities in support of United States exports and explain the rationale for the priorities;
(2)
review current Federal programs designed to promote the sale of United States ex orts in light of the priorities established under paragraph 8) and develop a plan to bring such activities into line with the priorities and to improve coordination of such activities;
(3)
identify areas of overlap and duplication among Federal export promotion activities and propose means of eliminating them;
(4)
propose to the President an annual unified Federal trade promotion budget that supports the plan for priority activities and improved coordination established under paragraph (2) and eliminates funding for the areas of overlap and duplication identified under paragraph (3);
(5)
review efforts by the States (as defined in section 2301(i)) to promote United States exports and propose means of developing cooperation between State and Federal efforts, including co-location, cost-sharing between Federal and State export promotion programs, and sharing of market research data;
(6)
reflect the recommendations of the United States National Tourism Organization to the degree considered appropriate by the TPCC; and
(7)
in coordination with State trade promotion agencies, include a survey and analysis regarding the overall effectiveness of Federal-State coordination and export promotion goals on an annual basis, to further include best practices, recommendations to better assist small businesses, and other relevant matters.
(d)

Membership.—
(1)

In general.—
Members of the TPCC shall include representatives from—
(A)
the Department of Commerce;
(B)
the Department of State;
(C)
the Department of the Treasury;
(E)
the Department of Energy;
(F)
the Department of Transportation;
(G)
the Office of the United States Trade Representative;
(H)
the Small Business Administration;
(I)
the Agency for International Development;
(J)
the Trade and Development Program;
(K)
the Overseas Private Investment Corporation4;
^4
Section 1470(e) of the BUILD Act of 2018 (division F of Public Law 115-254) provides for an amendment to strike “Overseas Private Investment Corporation” and insert “United States International Development Finance Corporation”. Section 1470(w) of such Act states “The amendments made by this section shall take effect at the end of the transition period.”. Section 1461(2) of such Act defines the term “transition period” as follows: “The term ‘transition period’ means the period—(A) beginning on the date of the enactment of this Act; and (B) ending on the effective date of the reorganization plan required by section 1462(e).”. For details relating to the reorganization plan, see section 1462(e) of such Act.
(L)
the Export-Import Bank of the United States; and
(M)
at the discretion of the President, such other departments or agencies as may be necessary.
(2)

Representatives from state trade promotion agencies.—
The TPCC shall also include 1 or more members appointed by the President who are representatives of State trade promotion agencies.
(3)

Chairperson.—
The Secretary of Commerce shall serve as the chairperson of the TPCC.
(e)

Member Qualifications.—
Members of the TPCC (other than members described in subsection (d)(2)) shall be appointed by the heads of their respective departments or agencies. Such members, as well as alternates designated by any members unable to attend a meeting of the TPCC, shall be individuals who exercise significant decisionmaking authority in their respective departments or agencies.
(f)

Report to the Congress.—
The chairperson of the TPCC shall prepare and submit to the Committee on Banking, Housing, and Urban Affairs of the Senate, and the Committee on International Relations of the House of Representatives, not later than March 30 of each year, a report describing—
(1)
the strategic plan developed by the TPCC pursuant to subsection (c), the implementation of such plan (including implementation of the survey and analysis described in paragraph (7) of that subsection), and any revisions thereto; and
(2)
the implementation of sections 303 and 304 of the Freedom for Russia and Emerging Democracies and Open Markets Support Act of 1992 (22 U.S.C. 5823 and 5824) concerning funding for export promotion activities and the interagency working groups on energy of the TPCC.
* * * * * * *
TITLE IV—

AGRICULTURAL TRADE
SEC. 4001.
[7 U.S.C. 5201 note]

SHORT TITLE.
This title may be cited as the “Agricultural Competitiveness and Trade Act of 1988”.
subtitle A—

Findings, Policy, and Purpose
SEC. 4101.
[7 U.S.C. 5201]

FINDINGS.
Congress finds that—
(1)
United States agricultural exports have declined by more than 36 percent since 1981, from $43,800,000,000 in 1981 to $27,900,000,000 in 1987;
(2)
the United States share of the world market for agricultural commodities and products has dropped by 20 percent during the last 6 years;
(3)
for the first time in 15 years, the United States incurred monthly agricultural trade deficits in 1986;
(4)
the loss of $1,000,000,000 in United States agricultural exports causes the loss of 35,000 agricultural jobs and the loss of 60,000 nonagricultural jobs;
(5)
the loss of agricultural exports threatens family farms and the economic well-being of rural communities in the United States;
(6)
factors contributing to the loss of United States agricultural exports include changes in world agricultural markets such as—
(A)
the addition of new exporting nations;
(B)
innovations in agricultural technology;
(C)
increased use of export subsidies designed to lower the price of commodities on the world market;
(D)
the existence of barriers to agricultural trade;
(E)
the slowdown in the growth of world food demand in the 1980's due to cyclical economic factors, including currency fluctuations and a debt-related slowdown in the economic growth of agricultural markets in certain developing countries; and
(F)
the rapid buildup of surplus stocks as a consequence of favorable weather for agricultural production during the 1980's;
(7)
increasing the volume and value of exports is important to the financial well-being of the farm sector in the United States and to increasing farm income in the United States;
(8)
in order to increase agricultural exports and improve prices for farmers and ranchers in the United States, it is necessary that all agricultural export programs of the United States be used in an expeditious manner, including programs established under the Food for Peace Act (7 U.S.C. 1691 et seq.), the Commodity Credit Corporation Charter Act (15 U.S.C. 714 et seq.), and section 416 of the Agricultural Act of 1949 (7 U.S.C. 1431);
(9)
greater use should be made by the Secretary of Agriculture of the authorities established under section 4 of the Food for Peace Act of 1966 (7 U.S.C. 1707a),5 the Food for Peace Act (7 U.S.C. 1691 et seq.), section 416 of the Agricultural Act of 1949 (7 U.S.C. 1431), and the Commodity Credit Corporation Charter Act (15 U.S.C. 714 et seq.) to provide intermediate credit financing and other assistance for the establishment of facilities in importing countries to—
^5
Section 4 of the Food for Peace Act of 1966 was repealed by section 1574 of Pub. L. 101–624.
(A)
improve the handling, marketing, processing, storage, and distribution of imported agricultural commodities and products; and
(B)
increase livestock production to enhance the demand for United States feed grains;
(10)
food aid and export assistance programs in developing countries stimulate economic activity which causes incomes to rise, and, as incomes rise, diets improve and the demand for and ability to purchase food increases;
(11)
private voluntary organizations and cooperatives are important and successful partners in our food aid and development programs; and
(12)
in addition to meeting humanitarian needs, food aid used in sales and barter programs by private voluntary organizations and cooperatives—
(A)
provides communities with health care, credit systems, and tools for development; and
(B)
establishes the infrastructure that is essential to the expansion of markets for United States agricultural commodities and products.
SEC. 4102.
[7 U.S.C. 5202]

POLICY.
It is the policy of the United States—
(1)
to provide, through all possible means, agricultural commodities and products for export at competitive prices, with full assurance of quality and reliability of supply;
(2)
to support the principle of free trade and the promotion of fair trade in agricultural commodities and products;
(3)
to support fully the negotiating objectives set forth in section 1101(b) of this Act to eliminate or reduce substantially constraints on fair and open trade in agricultural commodities and products;
(4)
to use statutory authority to counter unfair foreign trade practices and to use all available means, including export promotion programs, and, if necessary, restrictions on United States imports of agricultural commodities and products, in order to encourage fair and open trade; and
(5)
to provide for increased representation of United States agricultural trade interests in the formulation of national fiscal and monetary policy affecting trade.
SEC. 4103.
[7 U.S.C. 5203]

PURPOSE.
It is the purpose of this title—
(1)
to increase the effectiveness of the Department of Agriculture in agricultural trade policy formulation and implementation and in assisting United States agricultural producers to participate in international agricultural trade, by strengthening the operations of the Department of Agriculture; and
(2)
to improve the competitiveness of United States agricultural commodities and products in the world market.
Subtitle B—

Agricultural Trade Initiatives
PART 1—

GENERAL PROVISIONS
* * * * * * *
SEC. 4203.
[7 U.S.C. 5213]

JOINT DEVELOPMENT ASSISTANCE AGREEMENTS WITH CERTAIN TRADING PARTNERS.
(a)

Development of Plan.—
With respect to any country that has a substantial positive trade balance with the United States, the Secretary of Agriculture, in consultation with the Secretary of State and (through the Secretary of State) representatives of such country, may develop an appropriate plan under which that country would purchase United States agricultural commodities or products for use in development activities in developing countries. In developing such plan, the Secretary of Agriculture shall take in-to consideration the agricultural economy of such country, the nature and extent of such country's programs to assist developing countries, and other relevant factors. The Secretary of Agriculture shall submit each such plan to the President as soon as practicable.
(b)

Agreement.—
The President may enter into an agreement with any country that has a positive trade balance with the United States under which that country would purchase United States agricultural commodities or products for use in agreed-on development activities in developing countries.
* * * * * * *
PART 2—

FOREIGN AGRICULTURAL SERVICE
* * * * * * *
SEC. 4214.
[7 U.S.C. 5234]

COOPERATOR ORGANIZATIONS.
(a)

Sense of Congress.—
It is the sense of Congress that the foreign market development cooperator program of the Service, and the activities of individual foreign market cooperator organizations, have been among the most successful and cost-effective means to expand United States agricultural exports. Congress affirms its support for the program and the activities of the cooperator organizations. The Administrator and the private sector should work together to ensure that the program, and the activities of cooperator organizations, are expanded in the future.
(b)

Commodities for Cooperator Organizations.—
The Secretary of Agriculture may make available to cooperator organizations agricultural commodities owned by the Commodity Credit Corporation, for use by such cooperators in projects designed to expand markets for United States agricultural commodities and products.
(c)

Relation to Funds.—
Commodities made available to cooperator organizations under this section shall be in addition to, and not in lieu of, funds appropriated for market development activities of such cooperator organizations.
(d)

Conflicts of Interest.—
The Secretary shall take appropriate action to prevent conflicts of interest among cooperator organizations participating in the cooperator program.
(e)

Evaluation.—
It is the sense of Congress that the Secretary should establish a consistent, objective means for the evaluation of cooperator programs.
Subtitle C—

Existing Agricultural Trade Programs
* * * * * * *
SEC. 4310.
[7 U.S.C. 1691 note]

MINIMUM LEVEL OF FOOD ASSISTANCE.
(a)

Annual Minimum.—
It is the sense of Congress that—
(1)
the United States should maintain its historic proportion of food assistance constituting one-third of all United States foreign economic assistance; and
(2)
accordingly, the total amount of food assistance made available to foreign countries under the Food for Peace Act (7 U.S.C. 1691 et seq.) and section 416(b) of the Agricultural Act of 1949 (7 U.S.C. 1431(b)) should not be less than one-third of the total amount of foreign economic assistance provided for each fiscal year.
(b)

Definition.—
For purposes of this section, the term “foreign economic assistance” includes—
(1)
assistance under chapter 1 of part I of the Foreign Assistance Act of 1961 (22 U.S.C. 2151 et seq.), the Food for Peace Act (7 U.S.C. 1691 et seq.), section 416(b) of the Agricultural Act of 1949 (7 U.S.C. 1431(b)), or any other law authorizing economic assistance for foreign countries; and
(2)
United States contributions to the International Bank for Reconstruction and Development, the International Development Association, the Inter-American Development Bank, the Asian Development Bank, the African Development Bank, or any other multilateral development bank.