Cotton's Week September 14, 2001

Congress Turns Attention to Disaster Response Package

In rare bipartisan, bicameral meeting with White House officials which extended late into evening, participants worked to craft emergency supplemental appropriations bill providing $40 billion to aid recovery and relief efforts related to Sept. 11 terrorist attacks. Senate passed resolution, 98-0, on Sept. 14. House vote was running 198-0 in favor, but vote was delayed short of 218 votes needed for passage when electronic voting system malfunctioned.

House and Senate leaders also expect to take up resolution expressing support for military action President Bush might order in response to attacks. President has proposed joint resolution that would authorize him "to use all necessary and appropriate force against those nations, organizations or persons (who) planned, authorized, harbored, committed or aided in the planning or the commission of the attacks against the US . . . and to deter and pre-empt any future acts of terrorism or aggression against the US."

Schedule for New Farm Legislation Uncertain

Terrorist acts perpetrated against US have necessitated redirection of Congressional attention for foreseeable future, with scheduled House debate on H.R. 2646, Farm Security Act of ’01, among issues that are on hold. Congress also must determine how best to craft and approve 13 appropriations measures necessary to fund agencies and programs beyond Sept. 30, end of FY01 (see related article).

In days leading up to scheduled House consideration of farm bill Sept. 13-14, intense and effective campaign led by Agriculture Committee Chairman Combest (R-TX) and committee members was gaining momentum and generating support for improved farm policy embodied in H.R. 2646. Chairman Combest was in constant contact with Administration and House leaders in effort to maintain focus on importance of new improved policy to respond to severe economic crisis in US agriculture. However, there also has been determined effort led by Environmental Working Group (EWG) and others to undermine support for commodity programs by spotlighting benefits made available to farmers in carefully selected Congressional districts. EWG and allies hope to build support for shifting funds from commodity programs to conservation programs.

While consideration of new legislation is delayed, members of agriculture community are making preparations to work against efforts to undermine support for exceptional new programs authorized by H.R. 2646 and for its passage and enactment at appropriate time.

Options to Meet Deadline for Funding Bills Considered

Congressional leaders are considering various methods to meet Sept. 30 deadline for approving FY02 funding bills. Among options some members are reviewing is Continuing Resolution that would provide funding for programs and agencies so operations can continue into FY02, which begins Oct. 1.

Other members noted, however, that Congress has renewed interest in passing all 13 spending bills and that passing Continuing Resolution would be mistake. They say that Congress should address spending bills individually, whereas Continuing Resolution would allow terrorists to "dictate how the US government is going to run."

As of Sept. 14, Congress had not completed work on any of 13 bills that are in various stages of completion. For example, House has approved FY02 agriculture appropriations measure, and Senate Appropriations Committee has approved different version that has not received consideration by full Senate. With Congress scheduled to be on abbreviated schedule weeks of Sept. 17 and 24 in observance of Jewish holidays, there is probably insufficient time to complete work on 13 bills even with intensive effort.

Crop Estimated at 19.99 Million Bales

In its September report, USDA estimated ’01-02 US cotton production at 19.99 million bales, down just 11,000 bales from August forecast.

Upland production is estimated at 19.38 million bales, down from 19.41 million in August, while ELS production is estimated at 615,000 bales, up 22,000 from previous month. National average yield is estimated at 679 pounds per harvested acre, increase of 9 pounds from August. Upland yield was increased 8 pounds to 669, while ELS yield was increased 19 pounds to 1,235.

In Southeast, upland crop estimate is 5.09 million bales (excluding Florida, which is now placed in "Other States" category by USDA). This represents decrease of 5,000 bales from August report. Decrease of 32 pound per harvested acre in expected yield for South Carolina accounts for lower crop estimate.

Mid-South crop estimate was reduced 150,000 bales to 6.79 million as region’s harvested area was reduced 165,000 acres. Arkansas, Louisiana and Mississippi saw reduction in harvested area of 70,000 acres, 45,000 acres and 50,000 acres, respectively. Only Louisiana saw reduction in expected yields, down 8 pounds from last month’s estimate.

Upland crop estimate in Southwest (exclusive of Kansas) was increased 10,000 bales to 4.61 million. Oklahoma’s production estimate was raised slightly to 210,000 bales, while Texas remained steady at 4.4 million.

In West, expected upland crop was increased by 105,000 bales to 2.70 million, as expected yield in New Mexico was raised 35 pounds. In California, harvested area was raised 40,000 acres from last month’s estimate and expected yield was lowered to 1,356 pounds per harvested acre.

ELS harvested area in California was increased 5,000 acres to 209,000. This, along with 15-pound increase in expected yield, accounts for 20,000-bale increase in production. Expected ELS yield in Texas was raised 57 pounds, increasing state’s ELS crop estimate by 2,000 bales. ELS harvested area and yield estimates for Arizona and New Mexico were unchanged from previous month.

US Cotton Crop, ’01-02

		YIELD PER	5-YEAR	480-
	HARV.	HARV.	AVG.	POUND
	ACRES	ACRE	YIELD	BALES
	Thou.	Lb.	Lb.	Thou.
UPLAND
SOUTHEAST	3,470	704	624	5,086
AL	605	742	582	935
GA	1,490	680	629	2,110
NC	975	729	645	1,480
SC	296	649	617	400
VA	104	743	707	161
MID-SOUTH	4,565	714	701	6,790
AR	1,080	720	744	1,620
LA	855	685	674	1,220
MS	1,630	757	753	2,570
MO	395	681	637	560
TN	605	651	592	820
SOUTHWEST	4,700	471	478	4,610
OK	200	504	443	210
TX	4,500	469	479	4,400
WEST	1,003	1,290	1,171	2,695
AZ	278	1,260	1,253	730
CA	655	1,356	1,182	1,850
NM	70	789	685	115
OTHER STATES*	161	584	506	196
TOTAL UPLAND	13,899	669	642	19,377
ELS	239	1,235	1,037	615
AZ	6	960	855	12
CA	209	1,286	1,114	560
NM	7	686	664	10
TX	17	932	787	33
ALL COTTON	14,138	679	649	19,992