JOHN KERRY: FIGHTING FOR FARMERS

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JOHN KERRY: FIGHTING FOR FARMERS
John Kerry is committed to helping American family farmers and ranchers compete in today’s
global agricultural economy. He understands farmers and ranchers must be given the
opportunity to receive a profit from the marketplace. Kerry will ensure family farmers and
ranchers are treated fairly here at home by banning unfair and anticompetitive practices, like
packer ownership of livestock, and he supports mandatory country of origin labeling to help
consumers buy U.S. food and agricultural products instead of foreign imports. He is dedicated to
maintaining a strong safety net to protect against low prices, improvements in the risk
management programs and emergency federal disaster assistance to help farmers, ranchers, small
businesses, and entire rural communities get back on their feet and back in business soon.

John Kerry will fight concentration and vertical integration, develop local, sustainable food
systems, enhance conservation measures, and fight for fair trade policies.

FIGHTING CONCENTRATION AND VERTICAL INTEGRATION. America’s meat
producers and processors are becoming more concentrated: Since 1982, the nation has lost more
than 80 percent of its pork producers; the top four pork processors now control nearly 60 percent
of the market; and the top four beef packers now control 81 percent of that market. This
concentration in the market is leaving independent producers with few options for selling their
product. Over the last decade this problem has been compounded by vertical integration by
corporate farms, which allows them to control most or all aspects of production. A Kerry
Administration will restore competition to the market and ensure family farmers receive fair
treatment.

       o   Ban on Packer Ownership. John Kerry will place a ban on packer ownership,
           prohibiting corporate meatpackers from directly owning livestock more than two
           weeks before slaughter.

       o   Improve the Environmental Quality Incentives Program (EQIP). EQIP is an
           important tool to help farmers build, plan, and operate manure management systems
           and to implement management practices designed to improve soil, water, or air
           quality. Unfortunately, payment limitations under this program have increased
           allowing large CAFOs to receive EQIP funds and decreasing the amount available for
           independent family farmers. John Kerry believes that EQIP funding should be
           directed to family farmers

       o   Eliminate discriminatory pricing. Under George W. Bush, the USDA has not
           provided transparent information about contract deals with packers. Small and
           independent farmers deserve a Department of Agriculture that takes seriously their
           need to investigate price discrimination of smaller producers. John Kerry will ensure
           that independent farmers are protected from discriminatory pricing.

DEVELOPING LOCAL FOOD SYSTEMS: LOCAL FOOD FOR LOCAL
COMMUNITIES. Developing local food systems can preserve agricultural land, strengthen
communities, encourage sustainable agricultural practices, support local food producers, and

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facilitate the production and distribution of locally-produced food through farmer's markets and
cooperative food buying programs. John Kerry wants to incorporate a “whole systems” approach
to U.S. agriculture policy.

       o   Country-of-Origin Labeling (COOL). Congress enacted a national country-of-
           origin food labeling program which requires grocery stores to label fresh meats, fish,
           fruits, vegetables, and peanuts with the country in which it was grown and processed.
           George Bush has stopped this important program from being implemented as a favor
           to the big meat industry. John Kerry will ensure that COOL is implemented as
           Congress intended.

       o   Increase in Funding for Value Added Agriculture. John Kerry believes we must
           address the continuing drop in the share of the food system profit that farmers are
           able to claim. The Value Added Producer Grant (VAPG) program provides capital for
           farmers to create value-added enterprises and cooperatives, such as onsite or farmer
           owned processing plants, and value-enhancing production techniques like organic
           farming. John Kerry will restore the Bush Administration funding cuts for this
           important program.

       o   Funding for the Farmers Market Nutrition Program (FMNP). John Kerry
           authored the legislation that created the Farmers Market Nutrition Program, which
           enables WIC clients and seniors to buy safe and healthy domestically grown
           vegetables and fruits. Annually an estimated 2.7 million people purchase fruits and
           vegetables from 14,400 farmers at more than 2,000 community-based farmers’
           markets, farm stands, and Community-Supported Agriculture Programs. Local
           farmers benefit from this program through sales of fresh seasonal produce. The
           community benefits from a strengthened economy. As President, John Kerry will
           continue his strong support for this important program.

       o   Incentives for Community Supported Agriculture (CSA). CSA is a partnership
           between farmers and community members working together to create a local food
           system that produces fresh vegetables, fruits, meats, and fibers directly for local
           community members. CSA members commit to a full-season price in the spring,
           sharing the risks of production. With this upfront support, farmers can concentrate on
           growing good food and caring for the land. In return, members know where their food
           comes from and how it is grown. John Kerry will support existing CSA incentives
           and identify additional means of support.

ENHANCING CONSERVATION MEASURES. Investing in agriculture conservation
projects has a double benefit: greater protection of our country’s natural resources and greater
income security for American farmers and rural communities facing challenging economic
conditions. John Kerry supports agriculture policies which will align our nation’s conservation
needs with farmers’ needs as they face global competition and new demands from consumers.

       o   Funding Conservation Programs. There are no better stewards of the land than
           people who rely on the productivity of the land. To help farmers live up to newer and

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higher environmental standards, a Kerry Administration will expand our programs,
           which provide financial assistance to our family farmers to encourage sound
           conservation, such as the Conservation, Wetlands and Grasslands Reserve Programs,
           the Wildlife Habitat Incentive Program and the Farmland Protection Program.
           Senator Tom Harkin’s tremendous leadership provided an 80% increase for voluntary
           conservation programs over the next 10 years – more than any other farm bill in
           history. George Bush has fallen short on his commitment to family farmers and
           conservation by inadequately implementing many of the programs and slashing funds
           for them. John Kerry will fairly implement and fully fund these important
           conservation programs.
               ¾ Conservation Security Program. All too often family farmers are competing
                 with corporate businesses. John Kerry supports improving income on
                 America’s farms and combining support for conservation. The Conservation
                 Security Program facilitates voluntary conservation on private lands in
                 production by providing incentive payments to farmers for maintaining and
                 adopting conservation practices that fit into their operation. These programs
                 enable farmers to continue being the good stewards of the land that they have
                 always been, rewards farmers who already use these practices, and encourages
                 adoption of new conservation practices.

               ¾ Open Fields. John Kerry supports efforts in Congress to provide farmers with
                 payments for voluntary public access to private lands. He will work to pass
                 legislation to provide farmers with payments for opening their land to hunting,
                 fishing, birding, and related outdoor activities. Kerry will make this win-win
                 proposal a priority as President -- it’s a win for family farmers and a win for
                 rural residents who enjoy the outdoors.

               ¾ Technical Assistance. George Bush wants to cut technical assistance to the
                 thousands of America's farmers and ranchers who want to practice good
                 stewardship on their land. Less conservation applied to the land jeopardizes
                 water, air, and soil quality. John Kerry will provide full funding for technical
                 assistance but he won’t do it by robbing other important conservation
                 programs to pay for it.

TRADE THAT WORKS FOR AMERICA’S FAMILY FARMERS. George Bush’s lack of
leadership and failed attempts at international diplomacy have negative consequences for our
country every day. Not only have his policies made bringing American soldiers back home from
Iraq more challenging, but they have impacted our trade relationships making it more difficult to
negotiate good trade deals for farmers. The real casualties in the trade war are American farmers.
Relationships must be repaired. International diplomacy must be restored. John Kerry will
provide strong leadership and work with the international community, not against them, and
assure that the global economy works for America’s family farmers.

       o   Assure Trading Partners Play by the Rules. The United States and Mexico made
           commitments with the signing of NAFTA. Both countries must abide by those
           commitments. Mexico's continued pattern of not meeting its international trade

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obligations is unacceptable. Commodities affected by Mexico's recent actions and
           threatened actions include pork, corn, high fructose corn syrup, beef, rice, apples, and
           dry beans. As a result of Mexico's protectionist actions, the corn refining industry has
           idled capacity, lost jobs, and experienced significant losses in profitability yet the
           Bush Administration has done little to nothing to fix the problem. John Kerry will
           fight to assure trading partners play by the rules.

              ¾    Milk Protein Concentrates. The flood of milk protein concentrate imports
                  that is harming U.S. dairy farmers must be addressed. Unfortunately, no
                  action has been taken by George Bush to close the tariff loophole that allows
                  these products into this country. For that reason, John Kerry will work to pass
                  the Milk Import Tariff Equity Act, a bipartisan bill which corrects the
                  loophole in U.S. trade law that allows MPCs to flood into the country.

              ¾ Central American Free Trade Agreement (CAFTA). The free trade
                agreement that was signed by George Bush marks a disappointing and
                unnecessary step backwards in our nation's efforts to ensure that opening
                markets results in higher living standards on all sides and not a race to the
                bottom on worker rights and environmental protection. Therefore I will
                oppose the CAFTA as currently negotiated by President Bush. As President I
                will work hard to strengthen our economic and political ties with our
                neighbors in Central America. I will bring us back to the negotiating table to
                develop an agreement that provides economic benefits, creates jobs and
                includes strong protections for labor and the environment.”

       o   Review Existing Trade Agreements. John Kerry will order an immediate 120 day
           review of all existing trade agreements to ensure that our trade partners are living up
           to their labor and environment obligations and that trade agreements are enforceable
           and are balanced. John Kerry will not sign any new trade agreements until the review
           is complete and its recommendations put in place. He believes all new trade
           agreements must have strong labor and environmental standards.

       o   Develop New Markets. U.S. negotiators have the flexibility to initiate or enter into
           new bilateral or regional trade negotiations that can open foreign markets to U.S.
           agricultural exports. A Kerry Administration would work to develop stronger trade
           relations with many countries that are adopting meaningful economic and trade policy
           reforms, including those in Sub-Saharan Africa and other emerging markets.

IMPROVING PUBLIC HEALTH AND ASSURING STRONG BEEF MARKET. Recent
reports about the Bush USDA’s handling of mad cow, beef imports, and BSE testing have
underscored the significant need for a renewed effort to protect American consumers. John
Kerry will improve our food safety and inspection process.

       o   More Inspections. John Kerry believes more inspections of cattle that are exhibiting
           signs of a neurological disease, adult cattle dying on farms, and non-ambulatory cattle
           must be done. These inspections should include not only the meatpacking side but
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more coverage to ensure that the 1997 feed ban on ground bone meal is not being
           violated. John Kerry will increase the testing and inspections overall and enhance the
           BSE surveillance program so that all suspect animals - particularly downed animals -
           are analyzed.

       o   National Tracking System to Make Diseased Livestock Easier to Track and
           Contain. John Kerry will implement an aggressive timeline for establishing a
           national tracking system that would make diseased livestock and meat easier to track
           and contain. This is critical not only to human health and public health but it will also
           help minimize any economic impacts.

DISASTER ASSISTANCE Farmers are particularly vulnerable to natural disasters. John Kerry
will fight for prompt disaster relief when tragedies – such as severe drought, floods and natural
disasters – attack farmers and ranchers across the nation. Unfortunately, George Bush has not
provided disaster assistance to our nation’s farmers and ranchers when they need it most. As
President, John Kerry will supplement the private risk management system with disaster
assistance so farmers have the protection they need in the face of weather related natural
disasters.

RENEWABLE ENERGY. John Kerry has a plan to reduce dependence on foreign oil. To
achieve that goal, he will invest in renewable fuels, including ethanol, biomass and biodiesel.
John Kerry believes that renewable energy, grown on America’s farms, must be part of
America’s energy future and he supports increasing renewable fuels use by 5 billion gallons by
2012. Renewable fuel produced from corn, soybeans and other sources – such as agricultural,
forest and food wastes – has a strong foothold in the market and great potential. A strong
renewable fuels standard will reduce our oil dependence, improve the quality of our
environment, and strengthen the economy of rural America.

FARM LABOR LAWS THAT WORK. The H-2a guestworker visa program is in serious need
of reform both to protect and focus on the status of farm workers and meet the needs of
agricultural employers. John Kerry has joined with a bipartisan group in support of a
guestworker reform program that contains improvements for both workers and employers.

       o   Pass Agriculture Opportunity and Benefits Act. The agricultural industry and
           farmworker advocates, which for years have struggled over wages and working
           conditions, support this effort, which will help ensure a stable work force for the
           nation’s farms, while also bringing undocumented farmworkers and their families
           “out of the shadows.”

COMMON SENSE APPROACH TO BIOTECHNOLOGY: John Kerry wants to work
towards the goal of reducing the ecological footprint of agriculture and ensuring adequate and
safe food and sustainability. Kerry supports farmers’ rights to use safe, approved, and regulated
technologies.

       o   Regulation. John Kerry will redouble government efforts to make sure
           biotechnology is safe for human consumption and safe for the environment. He will

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give government agencies the power they need to effectively regulate genetically
           modified food products, both before and after market.

       o   Foreign Policies. John Kerry will work with the international community to
           effectively address concerns about genetically modified products and improve trade
           relations.

PLAN FULLY PAID FOR WHILE CUTTING THE DEFICIT. John Kerry’s entire plan is
paid for while keeping overall discretionary spending, outside of education and health care,
growing less quickly than inflation. Specifically, John Kerry will freeze the Federal travel
budget -- saving $10 billion over ten years which will cover his entire rural agenda and leave
additional savings for deficit reduction.

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