News Release

PGI granted Trade Adjustment Assistance

BLACKFOOT, ID — The Foreign Ag Service of USDA announced Tuesday that PGI’s petition for help under the Trade Adjustment Assistance (TAA) for Farmers was approved. USDA’s announcement means that Idaho potato growers will be eligible for several types of assistance.

The Foreign Ag Service of USDA announced Tuesday that PGI’s petition for help under the Trade Adjustment Assistance (TAA) for Farmers was approved. The TAA program is designed to help farmers whose income is severely impacted by the importation of a foreign good. USDA’s announcement means that Idaho potato growers will be eligible for several types of assistance.

PGI claimed in the petition that growers of fresh Idaho potatoes saw their prices fall thirty percent in the 2003-crop marketing season, as compared to the average price of the previous five years. The petition showed that a large surge of imported french fries from Canada occurred at the same time Idaho growers lost a large market with the closing of a processing plant in Heyburn, Idaho.

PGI leaders also had to provide evidence in a hearing in Washington D.C. with USDA, as to why the importation of a processed product, french fries, caused the price of fresh potatoes to drop in Idaho. USDA’s announcement showed that PGI’s effort in the hearing was successful.

“We’re very grateful to USDA for approving our TAA petition,” said Doug Hanks PGI President, from Saint Anthony. “We felt good about the case we presented and the various benefits available to our growers under this program will help them stay in business or provide education opportunities for them to pursue other career options.”

Mike Telford, a grower leader from Paul Idaho, said, “The approval of the trade assistance petition is another proof that NAFTA and free trade have not been good for Idaho farmers.” Canadian growers and processors took advantage of favorable exchange rates, hidden subsidies, and closer proximity to US markets to greatly expand their production of french fries. Idaho growers are still struggling today with surplus production that was in great part caused by loss of markets due to the Canadian expansion.

The assistance package provided under TAA will include technical assistance, cash benefits up to $10,000 and educational opportunities. “PGI will be involved with the development of the technical assistance package for Idaho growers,” PGI Executive Director Keith Esplin said. “We want to have the best information we can for them to evaluate how they can make their potato businesses compete in a rapidly changing market; Furthermore, we want to show those who quit raising potatoes the educational benefits available under TAA.”

Idaho potato growers can apply for TAA benefits at their local FSA office starting March 28 until June 27, 2005. The technical training will start later, but must be completed by September 26, 2005. Growers can also get more information by calling Keith Esplin at the PGI office, 785.1110 or 243.1824.