[Congressional Record (Bound Edition), Volume 149 (2003), Part 1]
[Extensions of Remarks]
[Page 251]
[From the U.S. Government Publishing Office, www.gpo.gov]




               SHRIMP IMPORTATION FINANCING FAIRNESS ACT

                                 ______
                                 

                             HON. RON PAUL

                                of texas

                    in the house of representatives

                        Tuesday, January 7, 2003

  Mr. PAUL. Mr. Speaker, I rise to introduce the Shrimp Importation 
Financing Fairness Act. This bill aids America's struggling domestic 
shrimping industry by placing a moratorium on restrictive regulations 
affecting the shrimping industry. This bill also prevents tax dollars 
from going to the domestic shrimping industry's major foreign 
competitors.
  The United States domestic shrimping industry is a vital social and 
economic force in many coastal communities across the United States, 
including several in my congressional district. A thriving shrimping 
industry benefits not only those who own and operate shrimp boats, but 
also food processors, hotels and restaurants, grocery stores, and all 
those who work in and service these industries. Shrimping also serves 
as a key source of safe domestic foods at a time when the nation is 
engaged in hostilities abroad.
  Given the importance of a strong shrimping industry to so many 
Americans, it seems strange that the federal government continues to 
burden shrimpers with excessive regulations. For example, the federal 
government has imposed costly regulations, dealing with usage of items 
such as by catch reduction devices and turtle excluder devices (TEDS), 
on the industry. The mandatory use of these devices results in a 
significant reduction in the amount of shrimp caught by domestic 
shrimpers, thus damaging their competitive position and market share.
  Many members of Congress have let the National Marine Fisheries 
Service, which is the lead federal agency with responsibility to 
regulate the domestic shrimp industry, know of their displeasure with 
the unreasonable regulatory burden imposed upon the industry. In 
response, the agency held briefings with House and Senate staffers as 
well as industry representatives to discuss how the agency's actions 
are harming shrimpers.
  However, even after hearing first-hand testimony from industry 
representatives and representatives of communities whose economies rely 
on a thriving shrimping industry, the agency refuses to refrain from 
placing regulatory encumbrances upon the domestic shrimping industry. 
Therefore it is up to Congress to protect this industry from 
overzealous regulators. The Shrimp Importation Financing Fairness Act 
provides this protection by placing an indefinite moratorium on all 
future restrictive regulations on the shrimping industry.
  Seven foreign countries (Thailand, Vietnam, India, China, Ecuador, 
Indonesia, and Brazil) have taken advantage of the domestic shrimping 
industry's government-created vulnerabilities. These countries each 
exported in excess of 20,000,000 pounds of shrimp to the United States 
in the first 6 months of 2002. These seven countries account for nearly 
70 percent of all shrimp consumed in the United States in the first six 
months of this year and nearly 80 percent of all shrimp imported to 
this country in the same period!
  Adding insult to injury, the federal government is forcing American 
shrimpers to subsidize their competitors! Since 1999, the United States 
Government has provided more than $1,800,000,000 in financing and 
insurance for these foreign countries through the Overseas Private 
Investment Corporation (OPIC). Furthermore, according to the latest 
available figures, the U.S. current exposure relative to these 
countries through the Export-Import Bank totals some $14,800,000,000. 
Thus, the United States taxpayer is providing a subsidy of at least 
$16,500,000,000 to the home countries of the leading foreign 
competitors of American shrimpers! Of course, the American taxpayer 
could be forced to shovel more money to these countries through the 
International Monetary Fund (IMF).
  Many of the countries in question do not have free-market economics. 
Thus, the participation of these countries in United States-supported 
international financial regimes amounts to a direct subsidy by American 
shrimpers to their international competitors. In any case, providing 
aid to any of these countries indirectly grants benefits to foreign 
shrimpers because of the fungibility of money.
  In order to ensure that American shrimpers are not forced to 
subsidize their competitors, the Shrimp Importation Financing Fairness 
Act ends all Export-Import and OPIC subsidies to the seven countries 
who imported more than 20 million pounds of shrimp in the first six 
months of 2002. The bill also reduces America's contribution to the IMF 
by America's pro rata share of any IMF aid provided to one of those 
seven countries.
  Mr. Speaker, it is time for Congress to rein in regulation-happy 
bureaucrats and stop subsidizing the domestic shrimping industry's 
leading competitors. Otherwise, the government-manufactured depression 
in the price of shrimp will decimate the domestic shrimping industry 
and the communities whose economies depend on this industry. I, 
therefore, hope all my colleagues will stand up for shrimpers by 
cosponsoring the Shrimp Importation Financing Fairness Act.

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