Corn

especially that which comes from countrieswith terrorist regimes.On another front, we are working hard toexpand market access for our agriculturalproducts. In my home state of Indiana, forexample, 30% of what we raise goes into theinternational marketplace. Just imagine whatour world would be like if all of a sudden that30% had no where to go? In Indiana alone,that $2 billion of exports supports about25,600 jobs, both on and off the farm, in foodprocessing, storage and transportation.Any new market access will simply add to thatexport total. And that’s what we’ve been tryingto achieve through the multilateral andbilateral processes. We will continue to urgeother countries to match the ambition the U.S.has shown to bring the Doha DevelopmentRound to a successful conclusion.In addition to multilateral negotiations, theBush Administration has aggressively pursuednew bilateral agreements. Four that arepending as I write this letter are agreementswith Peru, Colombia, Panama and SouthKorea. If all are approved, we will gain dutyfree access to these growing markets with acombined population of about 75 millionCorn: Supply & Disappearancepeople and a GDP of about $575 billion.Here at home, we are very focused on the 2007Farm Bill. We have a tremendous opportunityto craft farm policy that supports Americanagriculture into the future. But the challengenow is not so much about next year becauseprojections tell us next year is going to be agood year for agriculture. The challenge iscrafting policy that will sustain this strengthfive and ten years down the road.I firmly believe that the Administration’s FarmBill proposal is the answer. It reflects many ofthe suggestions we received during our 52USDA Farm Bill Forums across the country.We propose investing $1.6 billion inrenewable energy, $7.8 billion in conservationand providing support to beginning farmers. Itstrengthens the farm safety net and bettertargets support to real farmers instead ofwealthy investors.We will always have ups and downs in theagricultural economy, but we are seeking farmpolicy that will moderate those swings whileallowing markets to put resources to their bestuse. We appreciate your contributions to thisvibrant economy and your interest in publicpolicy.Year BeginningSeptember 1BeginningStocksSUPPLYProductionImportsTotalFood, Alcoholand IndustrialSeedDISAPPEARANCEFeed andResidualTotalExportsTotalDisappearanceENDINGSTOCKSTotal1997/98883.29,206.88.810,098.81,784.420.45,481.87,286.61,504.48,791.01,307.81998/991,307.89,758.718.811,085.31,826.519.85,467.87,314.11,984.29,298.31,787.01999/001,787.09,430.614.711,232.31,893.020.35,664.97,578.21,936.69,514.81,717.52000/011,717.59,915.16.811,639.41,937.619.35,842.17,799.01,941.39,740.31,899.12001/021,899.19,502.610.111,411.82,026.320.15,864.27,910.61,904.89,815.41,596.42002/031,596.48,966.814.510,577.72,320.220.05,562.97,903.11,587.99,491.01,086.72003/041,086.710,089.214.111,190.02,516.720.65,794.98,332.11,899.810,231.9958.12004/05958.111,807.110.812,776.02,666.120.86,157.18,844.01,818.110,662.02,114.02005/062,114.011,114.18.813,236.92,961.319.96,154.79,135.92,133.811,269.71,967.22006/07*1,967.210,534.912.012,514.03,464.323.65,597.79,085.62,124.711,210.31,303.82007/08** 1,303.813,167.715.014,486.54,567.322.75,650.010,240.02,350.012,590.01,896.5Million BushelsSource: USDA – Economic Research Service * Preliminary ** Projected6 | 2007 Corn Annual