while total input use (use of energy, water, fertilizers, etc.) has actually fallen slightly over this same period. However, due to the new economic, environmental, and health demands being placed on our food and fiber production systems, we need to reassess our science and technology investments in agricultural research. Maintaining and enhancing rates of growth in food and fiber productivity in this new environment will be the major science and technology challenge for agricultural and natural resource scientists in the twenty first century. Global food security remains a challenge for the next century. Significant uncertainties, however, remain in projections of future world food requirements and the ability of poor countries to achieve sustainable economic and agricultural development. Scientific and technical advances that improve agricultural productivity can help combat the human and social deterioration associated with hunger and poverty. In addition to traditional aid programs, U.S. support for international agricultural research centers helps build the research infrastructure in many regions of the world with persistent food production problems. U.S. Land Grant universities train significant numbers of agricultural scientists from the developing world, who in turn contribute to their national research programs. Working with other nations to develop the scientific tools and infrastructure they need to provide for the nutritional needs of their own people, the United States can help alleviate the pain of hunger that afflicts 800 million people daily. INTEGRATED MANAGEMENT OF FARMS, RANGE- Our nation's farms, rangelands, forests, and coastal waters must be managed in a fashion that allows for their long-term, sustainable use for production purposes while preserving other vital functions, such as habitat for wildlife, watershed protection, and recreation. To achieve sustainable production practices, we should view our farms and forests as integrated systems with a variety of inputs and outputs. Scientific knowledge, generated through research, has been and will continue to be the most important factor in any sustainable production system. Greater scientific understanding of the inter-relatedness of the multiple components of our nation's food and fiber production systems, ranging from geochemical and biological to social and economic interactions, will help farmers and natural resource managers understand what is necessary to maintain or restore the economic, social, and natural attributes of the system. An excellent example of an integrated approach to natural resource management is the USDA Forest Service's Wine Spring Basin demonstration project in North Carolina's Nantahala National Forest. It encompasses about 4,500 acres and contains a mix of hardwood forest types, streams with native brook trout, and old growth timber stands. The purpose of the project is to develop, test, and demonstrate ecologically based concepts and technologies to restore the native mixed pine forest, its diverse understory, and stream habitats, as well as to achieve a sustainable forest community. Early project development has centered on reintroduction of fire under prescribed conditions, testing improved regeneration techniques for oak forest, restoring stream habitats with addition of woody debris, and a socioeconomic assessment of public attitudes and values. Our coastal waters are as productive as the richest American farmland. Significant strides have been made in restoring the living marine resource habitat value to areas that have been degraded through catastrophic events such as oil spills or ship groundings, or as a result of cumulative human activities, such as water diversions or land use changes. Projects eventually benefiting upwards of 48,000 acres of coastal wetlands were initiated or under way by the end of 1996. As part of the efforts to recover Pacific salmon populations, removal of barriers to fish migration and restoration of historic spawning streams have been undertaken, in many cases by members of the fishing industry displaced as a result of reduced harvest levels due to habitat losses and other factors. These restorations generally represented partnerships among Federal, state, and local governments, tribes, industry, and nongovernmental organizations. ENVIRONMENTAL QUALITY Reducing negative impacts on the environment or even improving its overall health is now a major consideration for American food and fiber producers. This is a significant shift from our traditional approach to farming and forestry in past decades. Since the end of World War II, farming was geared toward optimizing production using chemical pesticides and fertilizers or through management techniques that may have solved one problem but often created other, more serious ones. Excessive tillage to control weeds, for example, often led to unacceptable rates of erosion of valuable topsoil. Forestry was practiced in many cases with little regard for endangered species or the water quality of streams and rivers. Today we are investing in science and technology to produce more from our food and fiber production systems while protecting our environment. Tillage and Global Change: Keeping organic matter tucked away in soil - where it is needed most for agricultural productivity - benefits the earth and the atmosphere. As organic matter is plowed up, carbon dioxide loss from the soil into the air dramatically increases. Measurements of a range of soil types, tillage methods, and climatic conditions indicate that deep plowing results in a much greater loss of carbon dioxide than all other forms of tillage. Such information is vital in quantifying the effects of tillage on soil quality and productivity and provides data for validating agriculture's role in global warming. These findings offer agricultural producers a way to help counteract global change by altering their cultivation practices. Water Quality -Water pollution from agricultural chemicals must also be prevented. Combining wetlands, ponds, and underground irrigation could result in water conservation and bigger yields for farmers. USDA scientists built such a system in Ohio to demonstrate the benefits of recycling runoff and drainage water from fields. It reduces sediment and agricultural chemical flow to streams, improves water quality, enhances wildlife habitat, increases wetland acreage, and improves crop yields. The wetlands remove sediment and agricultural chemicals from field runoff. The water is then stored in a pond until it is needed to irrigate a field. Finally, it is pumped back through underground pipes to reduce water stress in crops. The overall result is that less pesticide and fertilizer runs off into surface waters. Precision farming, such as site specific application of pesticides and fertilizers, holds considerable promise for the future. Using powerful tools such as the global positioning system, scientists are developing techniques to accurately place agricultural chemicals where they are needed most. Current methods of chemical application are more "broad brush," with chemicals being applied throughout an entire field. New precision farming techniques will reduce costs by eliminating unnecessary chemical application, and will protect the environment by reducing the amount of chemicals applied. New biotechnology-derived crops also have the capability to improve management practices. For example, plants are being developed that require fewer applications of pesticides, that require less tillage (therefore reducing soil erosion), and that require less irrigation. While new genetic traits and the use of genetically engi Protecting surface and ground water from contamination by agricultural activities requires knowledge of land use, soil properties and hydrogeology as exemplified by the Mahantango Creek watershed near Klingerstown, Pennsylvania. neered crops may be environmentally beneficial in many circumstances, a continuing strong research program is important to identify and minimize any potential long-term negative impact this technology may have on the environment. GLOBAL MARKETS AND TRADE Recent trade agreements such as GATT and NAFTA are creating significant opportunities to expand international markets for U.S. agricultural products. However, with the increased trade liberalization, U.S. agriculture faces a transition away from a system of commodity price supports to market-driven pricing. To succeed in this new environment, U.S. farmers will have to rely on the latest information and newest technology. Economic research also is needed to support decision-making at multiple levels from what to plant on the family farm to negotiations of international trade agreements. Where are the most promising growth markets for U.S. agricultural products? Will developing countries achieve sustainable agricultural practices or economic development that allows them to participate in world trade markets? Or will they stumble, fostering conditions for hunger, malnutrition, and political unrest? How can we overcome unfair trade barriers to U.S. agricultural products? These questions must be addressed if agriculture and its related activities are to continue to be major contributors to our nation's economy. Only through scientific and technological advances, coupled with sound economic decision-making, can our nation's farmers successfully compete in global markets. USDA has developed new models to aid in assessing complex trade interactions. These models effectively measure and evaluate tariff barriers to trade and estimate the economic consequences of freer trade for U.S. agricultural producers and consumers. This allows economists to identify such key growth markets for U.S. agriculture as China, Korea, Indonesia, Mexico, and Saudi Arabia. Further, USDA research shows that growth in demand for U.S. exports is likely to be greater for high-valued products, such as processed foods and meats, than for bulk commodities. Such analysis not only identifies opportunities for U.S. agricultural exporters, but provides forward-looking information that can smooth out world prices when unexpected events disrupt world markets. ANIMAL HEALTH Animal diseases cost the United States billions of dollars each year, which is why the USDA supports research addressing the health concerns of important livestock, poultry, and aquatic species. Much of the research conducted by the biomedical programs of the NIH, DOD, and VA is directly relevant to improving animal health. New vaccines, drugs, and other approaches to disease prevention need to be continuously added to the veterinarian's disease fighting arsenal. Production practices that result in healthy food animals not only improve agricultural profitability and the well-being of the animals, but also improve human health. Animal pathogens may play a larger role in human health than previously thought. Some human health concerns, such as E. coli O157:H7 or Salmonella infection, can be drastically reduced through improved animal health. Recent data indicate a degenerative disease of the human nervous system may have been transmitted from cattle infected with bovine spongiform encephalopathy (BSE), also known as "mad cow disease." Unknown in the United States, it has had a devastating effect on the British beef industry. USDA scientists have developed a new test for the prion protein believed by some to be linked to BSE. This test may be a promising tool to test live animals for the presence of scrapie (a related disease of sheep) or BSE. Scientists at the National Institute of Neurological Disorders and Stroke have also developed an assay for transmissible spongiform encephalopathies for use in humans and non-human mammals. Ensuring the safety of the American beef supply will help keep U.S. agriculture competitive in world markets. PLANT HEALTH AND INTEGRATED Farmers generally lose 10 to 30 percent of their crops to The goal of USDA's IPM research is to reduce the use of synthetic pesticides by placing greater emphasis on natural controls, host resistance, cultural practices, biological controls, and biopesticides. The aim is to produce high-quality food and agricultural products, while maintaining farmers' profitability and protecting human health and the environment. Research at Texas A&M University has saved the economy $1.5 billion per year and spared the environment from 17.3 million pounds of insecticides alone. At the same time, 20,000 new jobs in Texas are associated with IPM. One IPM program in the Rio Grande Valley for carrots destined for baby food, soup, and frozen foods reduced insecticide use by 66 percent while increasing individual farmer profits by $22,000. More than 40,000 farmers have significantly reduced their use of chemical pesticides on row crops, fruits, and vegetables. USDA scientists, working with their counterparts in the Land Grant university system, have provided farmers with science-based information on new pest management practices that meet agricultural production, human health, and environmental goals. Fortunately, recent scientific advances, such as in molecular biology and computer science, hold great promise for further improvements in approaches to pest management. Where effective tactics have been developed, they are widely and rapidly implemented by farmers. IPM methods are used on about half of all fruit and nut, vegetable, and major field crop acreage in the United States. IPM in Oregon has been proven to reduce greatly the amount of pesticides applied to crops. Twenty thousand acres of Oregon apples have gone from a maximum of three miticide applications per year to less than one under IPM. Each application costs growers $3 per acre. Determining the pest status on a regular basis of 6,000 acres of pears in southern Oregon has helped eliminate 18 pounds of active pesticide ingredient per acre for a savings of more than $600,000 per year. An Oregon mint IPM program adds $500,000 to the value of the crop, since processors will not buy peppermint oil with pesticide residues. GENETIC RESOURCES Over a century of genetics research and breeding has led to many successful improvements in plants and animals. Virtually every foodstuff and many forest species have benefited from such improvements. Recent developments in genetic manipulation and the rapid mapping of genes are opening new possibilities, from improved disease resistance, to better taste, to longer shelf life. Access to genetic resources, such as gene sequencing and mapping data, and genetic material, such as cloned genes, novel strains, wild relatives and other plant, animal and microbial germplasm, are vital to the future health of American agriculture and forestry. The development of economically, environmentally, and nutritionally important traits will be possible only if the scientific community has ready access to needed genetic resources. The majority of agriculturally important species produced in the United States did not originate in North America. Therefore, we need to continue to rely on other countries for valuable germplasm, which underpins our nation's crop and livestock improvement efforts. We must preserve the incredibly diverse gene pool of all plants and animals now in existence, or we risk missing important future opportunities for progress. Preservation of existing genetic diversity is integral to improving our crops and livestock. Future work in germplasm preservation and maintenance must focus on improving access to existing worldwide collections and identifying gaps that exist in these collections. A future challenge is to establish international agreements that ensure access to genetic resources. For example, potato germplasm maintained in one country should be accessible to the global research community so that new traits, such as resistance to the fungus that causes late blight, can be incorporated into potato cultivars in areas threatened by this pathogen. Although countries have rights over genetic resources within their borders, the Administration believes that open access to such resources is important to improve agricultural species critical to global food security. Research leading to improved storage and regeneration of germplasm in a manner that ensures its genetic integrity is of paramount importance. We must also continue to develop appropriate databases that document germplasm availability, quality, and traits. To enhance germplasm traits that contribute to improved productivity and environmental sustainability, we should encourage multidisciplinary research approaches that combine the traditional tools of breeding and selection with the new tools of molecular genetics. The public and private sectors need to collaborate on research, development, and technology transfer to ensure an adequate flow of improved germplasm for major food and fiber species. The genetic base of some important food species is dangerously narrow. This is particularly true of fish and shellfish stocks used in aquaculture farming, including catfish, shrimp, oysters, and salmonids. For example, the ancestry of most of the farmed catfish stocks in the southern United States can be traced to a single source of fish in Oklahoma. This greatly increases the chance of susceptibility to new or reemerging diseases and limits the possibility of genetic improvements through breeding. In 1995, the National Plant Germplasm System, under the auspices of USDA's Agricultural Research Service, distributed approximately 120,000 samples of seed and clonal germplasm to both U.S. (85,000 samples) and foreign (35,000 samples) requestors. GENOMICS Gene maps are powerful tools with which to genetically improve plants, livestock, and other beneficial organisms. Such maps and their associated DNA markers are useful for improving the accuracy of selection of desirable new genotypes, moving new genes into populations, and characterizing potentially valuable germplasm populations. USDA scientists, working in collaboration with researchers from State Agricultural Experiment Stations, have produced genetic maps of important animals (cattle, swine, sheep, and poultry) and plants (corn, soybean, loblolly pine, wheat and others), which can be accessed electronically. In general, the quality of these maps must be improved before their full potential can be brought to bear on new crop and breed development. The focus of USDA research in the area of animal genome mapping for the next five years will be on the development of markers for use in selection schemes for each of the livestock species. For plant gene mapping efforts, continued work is needed on improving the resolution of various maps and on the isolation of genes that confer desirable traits. In addition, considerable effort needs to be given to database development and the development of libraries of large genome fragments to facilitate gene identification and isolation. Intellectual property rights associated with genetic resources need to be addressed. While promoting technology transfer and application in major crops, such as corn and wheat, patenting genetic resources and methods of genetic modification may actually impede the commercialization of biotechnology-derived minor crops, such as vegetables. Companies holding patents on enabling biotechnologies and genes may not be inclined to issue licenses for minor uses. We need to ensure that breeders of minor crops have access to the genetic resources and techniques needed to maintain the competitiveness of the minor crops industry. The livestock gene maps developed at the U.S. Meat Animal Research Center in Clay Center Nebraska, have over 1,300 markers for cattle, 1,100 for swine, and 500 for sheep. The poultry map developed in cooperation with Michigan State University has over 600 markers, and is being integrated with the United Kingdom's poultry map. USDA is supporting research, through the National Research Initiative and the Agricultural Research Service, on gene mapping, identification, and characterization of over 40 crop species. INVESTING IN A BALANCED AGRICULTURAL RESEARCH PORTFOLIO Agricultural research supported by the federal government requires a balanced science and technology portfolio that encompasses a broad range of activities from fundamental to applied and developmental research. Private sector research spending in agriculture has grown more rapidly than that of the public sector and now accounts for more than the combined level of federal and state funding. While private sector research spending has taken over an increasing share of the developmental research (that portion of research that promises adequate economic returns to investors), the opportunities for developmental research and continuing technology advances depend on advances in research funded by the Federal government and primarily conducted by the USDA's Agricultural Research Service and State Agricultural Experiment Stations. As in other research areas, the Administration has made a clear commitment to enhancing the quality and accountability of Federally funded agricultural research. Rigorous peer-review, the hallmark of American science, has been promoted annually by the Administration through the budget-setting process; science programs that are based on merit review with peer evaluation are a priority. The new Fund for Rural America, supported by the President and established in the Federal Agriculture Improvement and Reform Act of 1996, has strong merit-review provisions. These provisions are written into the program's authorizing language and will be implemented through peer evaluation. The National Research Initiative (NRI) utilizes excellent competitive peer-review procedures. Peer review procedures used by other USDA research programs (intramural and formula funds) are being assessed to determine how they can be improved. SUPPORT FOR FUNDAMENTAL AGRICULTURAL Increased support for fundamental research programs in molecular and cellular biology, physiology, and ecology has expanded our understanding of fundamental processes such as pathogenesis, genetic disorders, nutrition, photosynthesis, nitrogen fixation, and evolution. Better understanding of these and other biological processes leads directly to a more secure and economically competitive food and fiber supply. In addition to basic research in the biological sciences, it is important to recognize the important contributions that research in chemistry, physics, engineering, and social sciences |