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saying, "all of these things have been American countries, its price is neces Mr. Chairman, contrary to the usual done and, Mr. House of Representatives, sarily controlled by the price levels on
sarily controlled by the price levels on legislation emanating from the Comyou pick up the responsibility and see the world market. The implementation mittee on Ways and Means, we bring to to it that the American people help to of the International Coffee Agreement you today a rather simple bill—not techcarry the cost of this new program, this will mean that the coffee industry of the nical in any respect-and not amending new arrangement that has been made, world will be stabilized by international provisions of law that are voluminous presumably, as the report says, to help coordination of production and market
coordination of production and market- and also very technical. We have the people of Latin America and, espe ing policies. It should, therefore, be of brought the bill to you under an open cially, of course, the coffee-producing benefit to the Kona coffee growers in my
benefit to the Kona coffee growers in my rule which provides for 2 hours of gengovernments." State of Hawaii.
eral debate and then an opportunity for Mr. GROSS. Mr. Speaker, will the Earlier this year I studied the Inter- any Member who desires to do so to offer gentleman yield?
national Coffee Agreement and together amendments. Mr. BROWN of Ohio. I yield to the
with Senator DANIEL K. INOUYE and the Why, Mr. Chairman, is this so difgentleman from Iowa.
gentleman from Hawaii, Congressman ferent from the usual run of legislation Mr. GROSS. I certainly agree with
GILL, both of the State of Hawaii, held from the Committee on Ways and my friend from Ohio; this will stabilize a conference with the State Department Means? We are faced here with a very coffee prices at the expense of the Ameri
to determine what effect this would have simple proposition, as I see it, and as I can consumers. It stabilizes them up,
on the export of coffee from Hawaii to think the members of the Committee it puts a floor under coffee prices.
foreign countries. At that time we asked on Ways and Means saw it when we had
for a legal memorandum, which was Mr. BROWN of Ohio. Yes.
this matter before the Ways and Means
Committee. Mr. GROSS. Does not the gentleman received and inserted in full into the
CONGRESSIONAL RECORD on May 20, 1963, As has been stated by others during agree the only way this bill could pos
at page 9030, by Senator INOUYE dur- the consideration of the rule, this counsibly be made acceptable is to put a ceil
ing the Senate debate on the agree- try saw fit to join other countries of the ing on coffee prices?
ment now before us. This legal memo world in the establishment of an InterMr. BROWN of Ohio. As I read the randum submitted by the Department national Coffee Agreement which is a legislation, and understand it, it does of State and dated April 8, 1963, states treaty requiring ratification by the other provide for a floor under coffee prices at that the agreement will not impose re body. The matter was submitted to the the 1962 level, but does not place any strictions on the export of coffee from other body for its approval earlier this ceiling upon the price that coffee may be Hawaii, for the reason that the export year. In May of this year the Senate did sold for in the United States.
quotas established in the treaty are ap- ratify this agreement in the form of a It is sort of a cartel arrangement. You
plicable only to exporting members, and treaty. We, therefore, Mr. Chairman, remember the cartels that existed under
the United States is named only as an are not primarily responsible to any Hitler and under some of the dictatorimporting member.
degree or extent for the terms of the ships of other nations a few years ago Mr. Speaker, I make this statement treaty itself. We are not in a position that we complained about a great deal. for the purpose of establishing legislative to change the terms of that treaty. The Now we are in a cartel of our own, pre history which cannot in any way be mis- membership of the Ways and Means sumably to help our friends south of the interpreted. I urge the enactment of Committee treated the matter on the border. I thought we arranged to give this implementing legislation for the In basis of having no jurisdiction whatsothem $20 billion, or something like that, ternational Coffee Agreement on the ever over the treaty itself and faced up not long ago, at the expense of all Amer- basis of this understanding: that Ha- to the question of whether or not this ican taxpayers, not just the people who waii's coffee industry, including its ex agreement, being in effect, and the treaty use coffee.
ports, will in no way or manner be af- being in force, we would pass legislation Mr. GROSS. Can the gentleman give fected or burdened by this legislation. out of that committee and recommend to me any possible explanation why the Mr. DELANEY. Mr. Speaker, I have you acceptance of legislation that would Brazilians are selling coffee to Russia at no further requests for time. I move permit those in the executive branch of $38.68 per 120-pound bag, while the price the previous question.
the Government to have the tools necesto U.S. purchasers is $41.50 ?
The previous question was ordered. sary to perform the obligations that are Mr. BROWN of Ohio. If that is cor The SPEAKER. The question is on required of the United States under this rect, and I assume the gentleman is cor- agreeing to the resolution.
treaty. rect because he is always correct in his The resolution was agreed to.
Now let us understand, however, before statements, it indicates the Russians are A motion to reconsider was laid on we talk in terms of what the particular just a little bit sharper traders than the the table.
bill does just what it is that we are American people. Or at least those who
IN THE COMMITTEE OF THE WHOLE committing ourselves to under that speak for the Russian Government may Mr. MILLS. Mr. Speaker, I move that treaty. be a little more clever than some of the the House resolve itself into the Com Though we do not have jurisdiction representatives of this Government in mittee of the Whole House on the State over the matter, we are thoroughly jusdealing with some of these foreign na- of the Union for the consideration of the tified in looking to see what our committions, and in the handling of foreign bill (H.R. 8864) to carry out obligations ments are under the treaty. In the first products. But that is neither here nor of the United States under the Interna- place, the United States is the largest there. The question is, What are you tional Coffee Agreement, 1962, signed coffee-consuming nation in the world, going to do now about this particular at New York on September 28, 1962, and consuming about 50 percent of the coffee rule? for other purposes.
consumed by the importing nations of Mr. DELANEY. Mr. Speaker, I yield The motion was agreed to.
the world. The United States along 3 minutes to the gentleman from Hawaii Accordingly, the House resolved itself with other nations constituting about 90 [Mr. MATSUNAGA).
into the Committee of the Whole House percent or more of the consumption of Mr. MATSUNAGA. Mr. Speaker, I on the State of the Union for the con coffee, joined with the nations of the rise to establish legislative history for sideration of the bill H.R. 8864, with world that produced coffee—about 97 the record so that the International Mr. FLYNT in the chair.
percent of the total production of coffee Coffee Agreement now before us for im The Clerk read the title of the bill. in the world is in these nations in this plementation will not include restric By unanimous consent, the first read agreement. tions on the export of coffee from the ing of the bill was dispensed with.
Now, what did we say we would do unState of Hawaii to any foreign nation. The CHAIRMAN. Under the rule, the der the agreement? We never said that
Mr. Speaker, Hawaii is the only State gentleman from Arkansas [Mr. MILLS] we would only buy so much coffee. We in the Union which grows coffee. Ha- will be recognized for 1 hour, and the never said we would buy just so much waii's famous Kona coffee is known the gentleman from Tennessee [Mr. BAKER] coffee from any nation of the world proworld over for its flavor and aroma. will be recognized for 1 hour.
ducing it. What we said is that we would Much of it is exported to European coun The Chair recognizes the gentleman under this agreement trade primarily tries. While Kona coffee has com from Arkansas [Mr. MILLS).
with those countries of the world which manded premium prices above those of Mr. MILLS. Mr. Chairman, I yield are members of the agreement. Therethe high quality coffee of the Central myself 10 minutes.
fore, we will limit our purchases of coffee
under this agreement from the countries Mr. MILLS. That is not necessary. Mr. GROSS. Mr. Chairman, will the of the world that may be producing the The gentleman misunderstands the gentleman yield? other 3 or 4 percent of the coffee which whole operation.
Mr. MILLS. Yes, if the gentleman is produced in countries that are not Mr. GROSS. This is what the Pres- has another question. members of this agreement. That does ident of the United States says.
Mr. GROSS. The gentleman was not not harm us in any way. The coffee Mr. MILLS. No. You misunderstand responsive in his answer to my previous producing countries which are a party to it. If you will let me explain it to you, question. this agreement have said that they would I will be glad to do it, but the gentleman Mr. MILLS. I was responsive; but impose quotas upon
upon themselves—the misunderstands how it operates. The perhaps I did not make myself clear. amount of coffee that they would ship President is exactly right. The treaty Mr. GROSS. But will the gentleman in world trade or that they would export. itself is in exact conformity with what yield? Brazil, for instance, commits itself to the President has said there. We con Mr. MILLS. Yes, I yield. a basic quota under this agreement of sume 50 percent of the coffee in the Mr. GROSS. Five hundred and one 18 million bags of coffee per year. The The world.
constitutes a majority, does it not? The other countries have lesser amounts. We have 40 percent of the votes within President says, according to the commitAnd the notable thing about it all, Mr. this Council. England can join us; any tee report, that the United States with Chairman, is this: The total of the coffee other consuming country can join us. any other one country has the majority that can be exported will be in keep- We have a controlling vote within the vote. ing with the total of the coffee that Council in determining whether or not Mr. MILLS. That is right. the importing nations of the world these quotas will be fixed or whether ad Mr. GROSS. I ask the gentleman to say they proposed to import. So that justments should be made within them. name the one country that has 101 votes there is really no restriction whatsoever That is the fact. That is the way it which might join with the United States or no cutback anywhere here in the works. So that the gentleman may be to make a majority of the total of 1,000 amount of coffee that can come into the completely assured that there is no in- votes? United States. We can buy all of our tention with respect to this—in my opin Mr. MILLS. I told the gentleman that needs from Latin American countries. ion, there is no possibility under this, that was right; it could be any other We can buy all of our needs from Colom- with the safeguards in it; it only goes country that is an importer, that is a bia and Brazil, say, if we want to buy for 2 years, remember, is applicable to party to the agreement. All the counour coffee from them, or we can buy our the 1963–64 crop year and the 1964–65 tries of the world that consume coffee excoffee from all of the countries that are
crop year—that prices to consumers are cept for perhaps less than 10 percent of a party to this agreement on some per- going to get out of line. There is no total consumption, or 7 percent, or somecentage basis if we want to do it. The justification whatsoever for feeling that thing like that, of total consumption, are Government is not placing any restric there is anything within this agreement not parties to it. They may be by next tion whatsoever upon any importer of that is not going to make it possible for year; I do not know. I gave the gentlecoffee in the United States except that the roasters of coffee in the United States man an example. If the gentleman we want our importers of coffee to limit to get all of the coffee that is necessary would listen to my explanation of what their coffee purchases from countries for their use here in the United States, the treaty provides and nobody is gowhich are not a party to this agreement. just because of this agreement. It is ing to contradict it, because that is what
Now, those are the terms of the treaty. entirely possible without this agreement we were told in the Committee on Ways What are the safeguards within that or with this agreement that prices of and Means, our country and one other treaty?
coffee could go up. I do not deny that country—you name it, any countryThe quotas cannot be changed by this They could go up for many reasons.
Mr. GROSS. Well, you name it. You council unless we and one other con First of all, you could have the com- tell me the name of the single country suming nation, a party to the agreement, plete elimination of a crop in Latin that has 101 votes which, with the 400 agree to such a change.
America; and this Hurricane Flora votes of the United States, would make Mr. GROSS. Mr. Chairman, on that almost took out the crop in the Carib a majority. last point, will the gentleman yield? bean very recently. You could have
Mr. MILLS. They do not have to Mr. MILLS. I will be glad to yield to frost; you could have drought; you could have 101 votes. That is where the genthe gentleman from Iowa.
have any other natural event to occur tleman is off base. I tried to get the Mr. GROSS. I notice in the report a in these countries that would eliminate gentleman straight on it but the genletter signed “John Kennedy." I assume a year's production of coffee, let us say. tleman will not let me explain it. It is this is John Fitzgerald Kennedy.
If that is the case then we have got to not 101 votes. We have 40 percent of Mr. MILLS. Yes. That letter was fall back on the reserves of coffee. Are the votes ourselves. asked for by the committee because we there reserves of coffee? I will say to
Mr. GROSS. Four hundred votes we wanted to know exactly whether or not my friend from Iowa, the country of
have? the things that had been said to us by Brazil has in its warehouses millions of some of the people in the State Depart bags of coffee in storage.
Mr. MILLS. I am not talking about
votes. We have the votes which we need. ment also represented the thinking of Mr. GROSS. Surely, they do. the President of the United States.
We have 400 votes; the gentleman is
Mr. MILLS. They have 22 million Mr. GROSS. So this John Kennedy
right. bags of coffee from previous crops, of the is the President of the United States?
Mr. GROSS. All right. kind of coffee that we buy and consume Mr. MILLS. That is my understand here in the United States. If they had
Mr. MILLS. Now we can veto any ing of it. the complete loss of a crop-our consum
quota arrangement, if we want to. Mr. GROSS. There is no "John F." tion is around 22 to 23 million bags of
Mr. GROSS. Yes. here, so I just wanted to make sure that coffee a year-they have in storage
Mr. MILLS. We can do that. this is the President of the United States enough of our kind of coffee for us to
Mr. GROSS. How do we do that? speaking. get what we want.
Mr. MILLS. The agreement provides, Mr. MILLS. That is my understand
The gentleman said something about the agreement itself, that we must have ing.
Russia getting coffee for $36 when we pay one other country voting with us. It Mr. GROSS. And he says in the let $41. It is not that they are smarter does not matter how many votes that ter:
traders than we are. It is just what my country has. That is where the gentleProbably the most important safeguard in friend from Iowa would suspect. We man is missing the point. If one other the agreement is that our votes, plus those have just a little bit richer appetitie for country joins us, that is all that is necof any other single consuming country, are coffee in the United States. We do not essary. sufficient to insure that export quotas will
import the kind of coffee that Brazil On the other hand, let me point out not be set below the level of estimated demand.
sold to Russia. We could get it for $35 to the gentleman that we have more
or $36. But our people do not want that than one-third of the votes. In order Mr. MILLS. That is right.
kind of coffee. That is what they want to impose any quota at all it takes twoMr. GROSS. My question to you is: in Russia. It is an inferior grade, just thirds of the total vote. What single country, other than the as their system is inferior to our system If the gentleman will listen to me I United States, has 101 votes? here.
want to make this point clear.
Mr. GROSS. I am listening.
The CHAIRMAN. The time of the After the agreement was negotiated in Mr. MILLS. It takes two-thirds of gentleman from Arkansas has again 1962, coffee prices continued to decline, the total vote to impose or adjust ex- expired.
and during the first 9 months of 1963, port quotas. As the United States has Mr. MILLS. I yield myself 3 addi- the price of Brazilian coffee moved down over one-third of the total votes, we have tional minutes, Mr. Chairman.
into the 33-cent range from its 1962 ayenough votes ourselves to veto any im Let me get the benefit of the gentle- erage level of 34 cents. As a result, position of a quota that we want to. It man's own response to that question, if wholesale prices in the U.S. market were is only necessary that one other coun- I may.
reduced early in 1963. However, in the try vote with us. That is the point.
Mr. BAKER. Well, my thought on the past few months, a combination of natThere is nothing in this bill to disturb subject is that that is the most effective ural disasters has severely affected cofthe gentleman from Iowa. I drink about safeguard of all. If prices got very much fee crops in Latin America. Brazil has as much coffee as anyone does. I do out of line, the United Sttaes could, by suffered especially severe frost, sustained not have to pay any more for it. But giving 90 days' notice, withdraw from the drought, and extensive fire. At the same I do think we are justified in this in- treaty. A withdrawal of the United time, Hurricane Flora has caused extenstance in going along with an existing States from the treaty would mean the sive damage to coffee plantations in the treaty. I do not want to be a party to end of the treaty. Am I correct in that Caribbean. As might be expected, the a repudiation of a firm commitment statement?
market has reacted to these reports. made by the United States and approved
Mr. MILLS. Absolutely; because there Prices for Brazilian coffee, which were and confirmed by the other body under cannot be any treaty without the United exceedingly weak until the middle of the Constitution and then say, because states being a member.
September of this year, firmed and are we may have some artificial, drummed
now quoted at 3734 cents a pound. Howup fear about something that cannot be BAKER), who has always been very help- stocks on which she can draw to meet
The gentleman from Tennessee [Mr.
ever, Brazil has sufficient marketable substantiated, but just something that ful, is aware of the fact that there has we imagine, that we ourselves, acting been some increase in recent months, not
the demand. here, will repudiate a firm commitment attributable in one iota to this arrange- largely for making instant coffees, has
The price for African coffee, used made by the United States, and I do not ment-but there has been some increase also been rising as a result of strong care what administration is in power. The CHAIRMAN. The time of the prices after a decline in these prices in Congo and Angola, late crops in a few in average import prices and in retail
demand, political disturbances in the gentleman from Arkansas has expired.
coffee in the early part of the year. So Mr. MILLS. I yield myself 2 addi- that the price level is back to approxi, ing by African producers.
African countries, and a shift in markettional minutes, Mr. Chairman.
mately what it was before prices went A commitment is a commitment, and
Mr. GILL. Mr. Chairman, will the down. if we have any respect in the world for
gentleman yield? our commitments, we will see to it that
Now, Mr. Chairman, our Government
Mr. MILLS. I yield to the gentleman the commitments made by the United is proceeding next week to go to the from Hawaii. States are carried out. We will not fol- Council meeting in London to make such
Mr. GILL. Hawaii is the only coffeelow the same path of some countries for suggestions to the Council that will
have producing State in the Union. Our prowhom we do not have such respect and the effect of checking any more advances duction is about 1 percent of the world for whose word we have very little con- in these prices in the future.
production. We sell most of our coffee fidence. But, Mr. Chairman, all in the
Our representative at this conference abroad. We have a lot of it going to world we are suggesting here is that we will ask for an increase of around a mil- West Germany at this particular time. permit the President and those in the lion bags of coffee in the quotas of some we are sure this particular treaty will executive department to have the ma
of these countries that can be made not affect us in any way, shape, or form. chinery to carry out the treaty. That available. There is no doubt the Coun- I would like to have the gentleman verify is what it is-requiring an import certif- cil will agree to it because this price ad- that. icate so that we have a statistical convance cannot go forward. We can pre
Mr. MILLS. The gentleman is comtrol to see whether or not the coffee comes vent it from becoming a permanent op- pletely correct because the United States from a country which is a party to this eration. The coffee agreement was to is a member of this agreement not as an agreement. That is all we are asking stabilize prices and not to cause a precip- exporting nation of coffee, but as an imfor. This information, in turn, is sent itous increase in prices. We placed a 2- porting nation. While the exporting nato the Council, and other countries that year limit on this legislation.
tions have agreed to place restrictions belong—these other countries send in
In this connection I will insert here a
upon their exports, we, being an importthe same information into the Council. price table:
ing nation, have not agreed to place any There we can see whether or not the United States: Average annual retail and restrictions on the export of coffee from other countries are living up to their part
import prices 1953-62
the great State of Hawaii. The more I of the agreement.
(U.S. cents per pound]
hear about the gentleman's State, the Mr. Chairman, I have previously said
more diversified I find it to be. that this is only for 2 crop years. We
Retail 1 Average Mr. Chairman, I should also like to
Year have a right to get out of it at any time
(regular import price direct the Committee's attention to a
coffee) (in within that period of time. If it does not
can) (green coffee) provision which the Committee on Ways work as I am telling you it is intended
and Means included in this part of the to work and as I think it will work, you 1953
bill. You will note that section 6 conknow good and well this Congress is not
tains a limitation with respect to the going to go forward with it beyond this
amount of the contributions of the Unit2-year period.
ed States to the International Coffee OrMr. BAKER. Mr. Chairman, will the
ganization. This limitation provides that gentleman yield?
the amount of the contributions of the Mr. MILLS. I shall be glad to yield
United States to administer the agreeto the gentleman from Tennessee.
ment for any period shall not exceed 20 Mr. BAKER. The gentleman was ap
percent of the total contributions as
January proaching the very point which I would February
sessed for the period to administer the like for him to further elaborate upon
April and that is with reference to the safe
Mr. OSTERTAG. Mr. Chairman, will guard, the provision which is article 68,
29.1 the gentleman yield?
Julywhich provides that any member may
Mr. MILLS. I yield to the gentleman withdraw on 90 days' notice.
from New York. Would the chairman enlarge upon that
Mr. OSTERTAG. I have followed the and state what effect that would have
1 Bureau of Labor Statistics, U.S. Department of discussion of the gentleman. It has been on the sale of coffee?
2 U.S. Department of Commerce.
very interesting. I believe the gentleman
1954. 1955.. 1956 1957 1958 1959. 1960_ 1961. 1962.
89. 2 110.8
93. O 103, 4 101.7 90.7 78.0 75. 3 73.6 70.8
52.7 65.7 52, 2 51.2 49.8 43.9 35.6 34. 3 32,4 30.4
69.2 69. 1 68. 7 68. 7 69.0 69.5 69.6 69.8 69.6
from Tennessee raised a question with The International Coffee Agreement islation authorizes us to limit imports regard to the treaty. I believe I know of 1962 seeks to impose restraints on the from nonmember exporting countries, the answer, but I would like to have the coffee-producing countries by making the
coffee-producing countries by making the it authorizes certificates of origin to gentleman say in the event the treaty consuming countries, such as the United show the source of the coffee purchased is cancelled out, in other words, phased States, parties to the agreement.
States, parties to the agreement. Quo- so that the Council can ascertain that out, would this implementing law remain tas will be established for each of the the exportive countries have not exin effect?
producing countries. The United States ceeded their quotas in world trade. Mr. MILLS. This is only for 2 years. accounts for about one-half of the world Mr. BAKER. I think this would be a This legislation is only implementing the consumption of coffee. So long as the matter of interest to the Members. We treaty for 2 years.
United States is willing to cooperate in had testimony in the committee that Mr. OSTERTAG. I understand that. the enforcement of adherence to quotas, there are nations in other parts of the
Mr. MILLS. It will then have to be the agreement may succeed. If the world that until fairly recently were not extended.
United States should withdraw, the considered as large coffee-producing naMr. OSTERTAG. You can withdraw agreement will become inoperative. tions, such as those in Africa. Am I corfrom the treaty in 90 days.
It is indeed regrettable that agree- rect in that? Mr. MILLS. If you withdraw from ments such as these have been found nec Mr. MILLS. The gentleman is corthe treaty the need for this legislation essary. However, there is a “glut” of rect. is gone, because implementation is only coffee overhanging the world market. Mr. Chairman, will the gentleman to enable us to carry out our commit Neither Brazil nor any of the other cof- yield further? ments under it.
fee-producing countries, acting alone, is Mr. BAKER. I would like for this to Mr. OSTERTAG. I understand the able to cope with the disastrous depres- be presented to the committee: If specneed is no longer there, but would the sion which this oversupply exerts from
sion which this oversupply exerts from ulators obtain large quantities of coffee force and effect of this remain if we
time to time on the price of coffee. I from those that are not parties signawithdrew after 90 days?
would hope that some day in the not too tory to this agreement—what effect could Mr. MILLS. The full force and effect distant future the production of coffee
distant future the production of coffee that have in raising the price of coffee? of it would be gone because it merely will be brought more nearly in balance There was testimony to that effect. I authorizes the President to do something
with the demand so that agreements yield to the gentleman. during the existence of the treaty, or not such as this will no longer be resorted Mr. MILLS. The gentleman is askto exceed 2 years.
to. The coffee agreement itself should ing now whether or not there is coffee Mr. Chairman, in closing let me urge be regarded solely as an experiment, produced by countries not signatory to the House to accept this implementing which may or may not be successful. this agreement that could be purchased legislation, not that I like it any more At this point I might interpose that by the United States? than the gentleman from Ohio may have when this was being originally con Mr. BAKER. No; this would prevent liked the proposition or the treaty itself. sidered by the Ways and Means Commit the purcase. I have some question about it, as I know tee, after we had listened for half a day Mr. MILLS. That is the point. It many of you have, but I have taken occa or a day I raised the question with some would enable us to limit purchases from sion to satisfy most of the doubts I have of the witnesses, and especially with the nonmembers. had. I believe the Committee on Ways chairman, Why should the Ways and Mr. BAKER. That is the point, and and Means viewed this matter more or Means Committee be dealing with coffee? the chairman did not enlarge on that less as nothing in the world but enabling We went into it rather carefully. The in his opening statement. us to best cope with an arrangement or heart of this bill is the imposition of Mr. MILLS. Now I understand the treaty we have entered into. Without quotas. Otherwise you would not have gentleman's question, may I try to anthis we are not in a position to carry
the Ways and Means Committee bringing swer the gentleman. out our firm agreement.
in a bill having to do with the importa There are some countries in the world Mr. BAKER. Mr. Chairman, I yield tion of coffee. May I ask the chairman that produce coffee, which countries are myself 10 minutes. if I am correct in that statement?
not parties to this agreement. They are Mr. Chairman, I wish to join the chair Mr. MILLS. In part, but let me very few in number, however. It is my man of the Ways and Means Committee amplify it. It is not just because these understanding that these countries that in support of H.R. 8864. I do this with- coffee-producing countries are placing produce the coffee that meets our taste out attempting to pass on the merits of this quota on their exports that brings are parties to the coffee agreement. the International Coffee Agreement of it to our committee, but the conditions Most of the coffee we get into the United 1962.
set forth in the bill that must be com- States comes from the Western HemiThe President in signing the treaty, plied with, such as reporting having to sphere. It is the type of coffee that we and the Senate in giving its advice and do with importation of goods into the roast and prepare to make drip coffee consent to ratification, necessarily con- United States and the records of the cus and so on. The coffee that comes in cluded that the agreement was in the toms service, which is within the juris- from Africa is not used for that purpose. best interest of the United States. I diction of the Ways and Means Commit- That coffee is used in the making of inmust accept that decision for purposes tee. It is interesting, too, if the gentle- stant coffee or something of that sort. of this legislation Time will only tell
Time will only tell man will permit me to point it out, that It is not ground in the same way to meet whether or not the agreement will prove the International Wheat Agreement, as I the taste of the American people as effective in stabilizing the price of coffee. remember, and the implementation of it, South American coffee and Latin Amer
H.R. 8864 authorizes the procedures at least, came through the Banking and ican coffee is, which is where we get the required in order that the President Currency Committee, and the Interna bulk of our coffee that most of us drink might carry out the obligations of the tional Sugar Agreement and its imple in the morning. I should add that the United States under the International mentation came from the Committee on African coffee producing countries as Coffee Agreement of 1962, and the pro- Agriculture of the House.
well as the Latin American coffee procedures provided for in this bill are rea Mr. BAKER. I would be glad if the ducers are members of this agreement. sonably intended to serve that purpose. chairman would answer this question to Mr. BELCHER. Mr. Chairman, will No objection was made to these proce- clarify the matter. Is not the heart of the gentleman yield? dures on behalf of the importers of cof- this implementing legislation the estab Mr. BAKER. I yield to the gentleman fee, who will principally be affected by lishment of quotas or restraints upon the from Oklahoma. the bill.
exportation of coffee from producing Mr. BELCHER. Am I to understand I am advised that efforts were made in nations to consuming nations such as from this colloquy that the Committee the past by the producing nations to con- the United States?
on Ways and Means has jurisdiction over trol the amount of coffee which came Mr. MILLS. Let me answer this way. imports into the United States? into the world market. Through a lack The implementing legislation before us Mr. BAKER. I yield to the chairman of self-discipline, these efforts proved does not involve quotas on the exports for his answer to that question. unsuccessful. There must be some en- of coffee. That matter is the subject of Mr. MILLS. Yes, I am sure that the forcement procedures.
the treaty itself. The implementing leg- gentleman from Oklahoma knows that
we deal with tariffs and duties in the I will say this, though, in line with Morse
Roosevelt Smith, Calif. the statements of the gentleman from committee.
O'Brien, Ill. Roybal
O'Brien, N.Y. St Germain Teague, Tex. Mr. BAKER. And quotas. Ohio [Mr. BROWN] in discussing this mat
Olson, Minn. St. Onge Thompson, N.J. Mr. MILLS. Yes. ter. Apparently, the basic thing in this Pilcher
Thomson, Wis. Mr. BELCHER. Here is the point, I agreement is to stabilize this part of
Udall agree that the United States should back the economy of the coffee-producing na Quillen
Utt up its commitments or agreements what- tions. For many of those nations cof Rains
Wallhauser ever administration may be in power, fee is just about the only cash crop. As
Accordingly, the Committee rose; and the price of coffee by preventing exces- pends upon it. It is lots better to do it sive imports into the United States? that way, if we can do it in that way and
the Speaker having resumed the chair, Mr. MILLS. No, sir. Would the gen- still protect the consuming public in the
Mr. FLYNT, Chairman of the Commit
tee of the Whole House on the State of tleman from Tennessee yield so that I United States. I hope we can do it that may answer the gentleman? way rather than do it by economic aid
the Union, reported that that CommitMr. BAKER. I yield to the gentle- or by doles or gifts or something else,
or by doles or gifts or something else, tee, having had under consideration the man.
bill, H.R. 8864, and finding itself without because it is of tremendous importance Mr. MILLS. Let me make it very that we have unity in the Western Hemi
a quorum, he had directed the roll to be clear, as my friend, the gentleman from sphere. sphere. Coffee is to the people of Brazil,
called, when 318 Members responded to Tennessee understands, under this agree- Colombia, and other nations what to
their names, a quorum, and he submitted ment the United States is making no bacco or cotton is to some parts of the
bacco or cotton is to some parts of the herewith the names of the absentees to commitment at all that it will purchase United States as a cash crop.
be spread upon the Journal. only so much coffee. There is nothing Mr. Chairman, I conclude with this
The Committee resumed its sitting. binding the United States one iota as statement. This treaty is an experi
The CHAIRMAN. When the point of to what we could import into the United ment. There is no question about that. order of no quorum was made, the Chair States so long as we import it from coun- It may or may not be successful. We
We had recognized the gentleman from Mistries that are signatory to this agree- in the Ways and Means Committee only
souri (Mr. CURTIS]. ment. This has to do with the exporta- present the mechanics of the treaty
The gentleman from Missouri [Mr. tion of coffee from coffee-producing which is an accomplished fact. The CURTIS] is recognized for 10 minutes. countries. They are binding themselves. United States is a party to this treaty by Mr. CURTIS. Mr.
Mr. Chairman, the Mr. BELCHER. Then what is the Presidential action and by constitutional
Presidential action and by constitutional chairman of the Committee on Ways purpose of the legislation?
ratification by the Senate. We feel in and Means, the gentleman from Mr. MILLS. The purpose of the leg- the committee that the procedural as Arkansas [Mr. MILLS], has adequately islation, I think, was pretty well stated pects, the mechanics, the tools we have and very correctly stated the situation by the gentleman from Ohio [Mr. presented to you are the best that we that confronts us.
that confronts us. We are in a situaBROWN] initially. This legislation is could devise, and on that basis we present
could devise, and on that basis we present tion where a treaty has been enacted and merely to implement a treaty, the pur- the legislation.
the legislation. This agreement is for the Committee on Ways and Means is pose of which is to bring a degree of 2 years and, as I said in my earlier col
2 years and, as I said in my earlier col- being asked, and our report to the House stability to the price of coffee that has loquy with the chairman of the commit is, to implement this treaty. In other not previously existed in the hope of tee, I think that the most effective pro
tee, I think that the most effective pro- words, those of us who may feel that bringing a stability to the economies of vision we have in here to protect con
vision we have in here to protect con- there is an economic crime of violence the Latin American countries and other sumers in the United States is that we involved here are confronted with the countries that produce coffee, which of can give 90 days notice and withdraw.
can give 90 days notice and withdraw. fact that that policy to go ahead and course is very important to us and in That ends the whole thing. The treaty
That ends the whole thing. The treaty commit this act of violence, that is ecowhich we manifest a great interest by would no longer have any effect.
nomic violence, has already been agreed the appropriation of vast sums of money The CHAIRMAN. The time of the
The time of the upon and we are merely being asked to every year for this purpose.
gentleman from Tennessee has expired. aid and abet it. I do think it is proper Mr. BELCHER. I agree that the sta Mr. BAKER. Mr. Chairman, I yield for the House to consider the full aspects bilization of the price of coffee which 10 minutes to the gentleman from Mis of this matter. affects the economy of the countries of souri [Mr. CURTIS].
One question that I think we can propSouth America is important to this coun Mr. HALL. Mr. Chairman, I make the erly ask ourselves is, Why did the executry. But I do not think it is a bit more point of order that a quorum is not tive use the technique of a treaty to imimportant than the importation of beef present.
plement what is really a matter in the into this country, which we do produce,
The CHAIRMAN. The Chair will field of trade and economics which more and at the present time 68 percent of count. Seventy-two Members are pres
traditionally we have handled through the processed beef that is used in the ent, not a quorum.
agreements which require a majority apUnited States is now being imported into
The Clerk will call the roll.
proval of both the House and the Senate? the United States and is not being processed in this country. I do not know why lowing Members failed to answer to their
The Clerk called the roll, and the fol
Of course, that is true of the Sugar Act.
Both the House and the Senate act upon the Committee on Ways and Means or names:
the Sugar Act. I think it is quite imthe President of the United States would
[Roll No. 1991
portant that in matters of economics and not have the authority to look into that Abele
trade, the Congress being closer to reprematter. But while we are worrying Auchincloss Duncan
senting the people be fully a part of the about the economy of South America, Avery
decision process. And in the Constitu-
tion it spells out that the Congress has about the beef producers of the United Barry
control over foreign and interstate comStates to see if we cannot make up some
merce, and this matter is really in the Battin kind of treaty and to see if we cannot
Fulton, Tenn. Kilburn
area of foreign commerce-I think that work out some kind of agreement where- Bolling Gathings Kluczynski is the reason why, in the judgment of our by the Committee on Ways and Means
constitutional forefathers, this authority
Laird might implement such an agreement or Brown, Calif. Green, Oreg. Landrum
was vested in us. I feel this way at any treaty to give the President of the United Broyhiil, Va. Green, Pa. Langen
rate, and I think if we reason it out, it States the power to stabilize beef prices Burkhalter Griffiths
is because trade matters and matters of in this country.
economics deal with the daily actions of Mr. BAKER. Mr. Chairman, I would
individuals and individual groups and say this. I have certain misgivings about Cameron Harvey, Ind. McMillan
are not the kind of high policy which reCeller Hawkins
Madden this bill. I am certainly not a believer
quires diplomacy which we expect to be in cartels. There is a difference between Clawson, Del Healey
Martin, Calif. present in treaties. Of course, treaties beef and coffee. We produce quality Cramer Hébert
sometimes do and frequently do relate beef in the United States, but we do not
Hemphill Miller, Calif.
to economic factors. They sometimes reproduce any coffee, except for Hawaii. Diggs
late to economic factors, but it is only