February 7, 1973
Page 3763
By Mr. MUSKIE (for himself, Mr. BROOKE, Mr. COTTON, Mr. HATHAWAY, Mr. KENNEDY, Mr. PASTORE, Mr. RIBICOFF, Mr. ROTH, Mr. WEICKER, and Mr. PELL)
S. 791. A bill to amend the Export Administration Act of 1969 with respect to the exclusion of agricultural commodities from export controls. Referred to the Committee on Banking, Housing and Urban Affairs.
EXPORT CONTROLS ON CATTLEHIDES
Mr. MUSKIE. Mr. President, Senators BROOKE, COTTON, HATHAWAY, KENNEDY, MCINTYRE, PASTORE, PELL, RIBICOFF, ROTH, WEICKER, and I are today introducing legislation that will permit the President to reinstitute export controls on cattlehides.
On July 15, 1972, Secretary of Commerce Peterson, acting under the Export Administration Act, imposed controls on cattlehides after the most careful, and I must say unduly deliberate, study. In announcing this action, Secretary Peterson underlined the administration's reluctance to impose controls, but indicated the absolute necessity for doing so. He cited the record high prices of hides and the Argentinian and Brazilian embargoes on hide exports as the major reasons for the administration's decision to impose controls.
A scant 2 weeks after Secretary Peterson's action, Congress passed an amendment to the Export Administration Act of 1969 which severely restricted the President's authority to impose export controls on hides. Since last summer, the price of hides has risen; tanneries have closed; and unemployment in the leather industry has been at an intolerably high level.
In my own State of Maine, between 1968 and June of 1972, employment in Maine's leather footwear industry declined from 26,900 employees to 18,500. During 1971-72, 13 shoe firms in Maine employing 3,000 people have closed. The pattern is not unique to Maine. We must not allow the situation to deteriorate further through uncontrolled increases in cattlehide prices. Legislation is needed to restrict American export of cattlehides, so that the prices of these hides do not rise to a level beyond the reach of the shoe and leather industries in the United States. It is my hope that this bill will be acted on quickly by Congress. Its passage is essential to the health of these vital American industries.