January 19, 2001

Ann Veneman, facing little if any real challenge to her designation as Secretary of Agriculture, told the Senate Agriculture Committee Thursday that farmers must be assisted by government to "seize market opportunities" both domestically and in foreign markets. Veneman, known for her interest in trade issues, said trade must be expanded and barriers to access eliminated.

In a remark certain to resonate favorably with farm organizations, Veneman said producers also need help "adapting to changing environmental demand." Regulations should be based on "sound scientific principles," and government policies "should help, not hinder the ability of farmers to be good stewards of the land."

Technology, she added, "is driving change in every part of the economy," including food production. "Advances in technology are leading to new products, increased productivity and more environmentally friendly farming. Research should enhance such technologies and the program should help farmers take advantage of these new opportunities," she said.

In questioning by Sen. Peter Fitzgerald (R-IL), she was asked her position on granting a controversial waiver to her home state of California exempting it from the oxygenate requirement of the reformulated gasoline program. Veneman said she would discuss the issue with Christine Whitman, expected to be confirmed as administrator of the Environmental Protection Agency, and express agriculture's interest in the matter.

Fitzgerald also urged her to promote ethanol as a fuel additive alternative to MTBE which has been found to have contaminated drinking water in several states. "I'd ask for your commitment that you will promote ethanol as an environmentally friendlier alternative to MTBE and that you would work closely with your counterpart at the EPA to ensure a strong future for ethanol," he said. She assured Fitzgerald she would work with Congress and EPA on the issue.

On the issue of market concentration in agriculture, Veneman pledged to enforce antitrust laws and "use the maximum authority under the Packers and Stockyards Act" to promote competition. Mergers such as poultry giant Tyson Foods' announced plans to buy meat processor IBP have brought calls for tougher government oversight of antitrust laws to ensure producers are not suffering economic losses because of mergers of large companies.