in a surplus marketing situation at that time when supplies will greatly exceed normal demand.

The suggestion is made that the Committee give serious consideration to provide the necessary authority to the Secretary of Agriculture to greatly increase the volume of commodities purchased and donated for the School Lunch program over and above traditional levels of previous years. Such authority would have two-fold benefits in that, (1) The added commodities donated would be instrumental in reducing the per student cost of a hot lunch and build participation within the system, and (2) Provide an additional market dimension to turkey producers as an incentive to more efficiently utilize existing production facilities. In conclusion, the National Turkey Federation very strongly believes the Secretary of Agriculture must have mandated authority and funds to properly dispose of a surplus of an agricultural commodity which may exist from time to time, or to purchase commodities as needed to sustain federal food assistance programs, irrespective of a surplus situation.

It is further concluded the most effective manner for the purchase of agricultural commodities by the Secretary is through the utilization of a centralized procurement procedure which has been used most successfully in previous purchase programs. The application of such a procedure will generate definite economies to the Department through large-block purchases direct from processors and marketers. This approach eliminates additional marketing charges to schools due to product changing ownership several times prior to delivery to the School Lunch system. Such large-block purchases will also be significantly effective from the standpoint of stabilizing producer prices by removing sizeable quantities of turkey and turkey products from regular marketing channels.

There is no question that on previous occasions the Secretary's prudent use of Section 32 funds for the purchase of turkey and turkey products for the School Lunch program has been most effective and helpful by providing a healthful, nutritious meat food product to the nation's school children; assisting turkey producers by establishing a price confidence level in the market place and doing so without an accompanying dislocation of retail values to the consumer.