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urement of the oil content of soybeans and cottonseed, sorting beans and other commodities by electronics, determining the influence of bovine age on meat characteristics and grade, development of optimum handling and shipping procedures for grapefruit moving to foreign markets, and obtaining new factual information on factors affecting pork palatability.

While consumers, farmers, and the public are strongly affected by the market. ing system, many of the marketing problems do not get solved by such groups or in their interest unless some agency with a public responsibility takes the lead. AMS is able to get data from firms which private agencies cannot get. It can make impartial analyses of the problems and develop and recommend unbiased alternative solutions without being concerned with promoting one particular brand or system. It is often the only agency with sufficient knowledge of the entire marketing system and of the individual pieces to know best how to fit them together. Knowledge of what has been done in one part of the country with one commodity, or in one segment of the industry, can be used to advise others and prevent duplication of efforts that have already been done elsewhere. Ideas can be tried out which may hold forth better hope of immediate profit to a specific firm or group. In short, it helps develop technical and other improvements in marketing and bring about their adoption for the sole purpose of making the marketing system do a better job.

No attempt is made under the program to do all of the marketing research needed. The efforts are directed toward neglected areas, finding solutions to important problems of regional or national concern and serving as a catalyst and stimulus to get other agencies and firms to do research. Much of this research is conducted in cooperation with the land-grant colleges and under contract. The program is thus provided with the benefit of research resources and facilities which would otherwise not be available, permitting the application of a higher degree of specialization to specific marketing problems.

The contributions of a public agency in this broad field are vital to the many groups, organizations, and individuals comprising the private marketing system, which is constantly faced with the need to make adjustments to keep pace with changing marketing organizations and patterns. Selected examples of recent progress

1. Standardized lighting conditions etablished for grading grain.-A study was completed to find the best lighting conditions and background to use in grading of grain. In order to overcome the wide range of lighting conditions now being used, a basic study of the best lighting conditions needed was undertaken with the hope that a practical solution to the problem could be found. Both objectives were obtained. A relatively inexpensive daylight type of lamp was found to improve the discrimination of classes of grain and of wheat. A better background panel, using pastel colors in place of the standard buff color, was also developed. The Grain Division, AMS, began immediately to remodel and equip their inspection offices for the new system.

2. Treatment procedures developed by AMS protect export grain from insects.The Agency for International Development reports that the malathion grain protective treatment developed by AMS and the proper spraying of ships holds during the past year have practically eliminated complaints from abroad that whole grains exported under Public Law 480 programs arrive at their destination infested with weevils. The malathion treatment, applied to the grain just prior to or during loading, protects the grain against insect infestation during shipment, as well as for several months after it reaches its destination.

3. Market research results basis for poultry regulation amendment to eliminate air-sac contamination.-Research on factors that contribute to air-sac contamination is the basis for an amendment to the "Regulations Governing the Inspection of Poultry and Poultry Products” which states that: “Poultry shall be slaughtered in such a manner that breathing has stopped prior to scalding.” The study proved that when chickens enter the scald water too soon the water, which is heavily contaminated with microorganisms, enters the respiratory system and penetrates all the way into the air-sacs and contaminates the adjacent meat. The study also showed that a kosher-style cut, which severs the trachea with the blood vessels, inhibits breathing and infusion of scald water into the respiratory system.

4. Table grapes protected from decay during storage and transport by improved fumigation methods.–Sulfurdioxide, extensively used for decay control in vinifera table grapes during transport and storage, shows a very uneven

distribution in rail cars and in many storage rooms under conventional fumigation procedures. This results in injury where excessive concentrations are present, and lack of decay control where the concentration is not up to standard. Studies with portable fans in conventional refrigerator cars showed that good distribution could be obtained with forced air movement, and proper baffling of open floor spaces. Distribution in thermostatically controlled cars presented other problems of distribution and aeration. Satisfactory distribution in precooling and storage rooms was found to be largely a matter of stacking patterns as related to air volume and direction of air movement. The findings of this research are being increasingly applied by the grape industry with reduced injury and more uniform decay control resulting.

5. Raisins protected during storage by improved drying methods. To control insects that invade raisins during drying and storage, the practice has been to fumigate them 1 to 4 times while in storage. This practice is costly, and each treatment gives only temporary control. A protective treatment effective for the average storage period of raisins has been developed by the AMS Fresno, Calif., laboratory and has been acclaimed by the industry members as a very practical and useful development.

When the grapes are dried on malathion-treated paper trays they pick up and retain a light residue that will protect them against insect infestation for approximately 1 year. The biological and chemical data developed by the Fresno laboratory are being used to petition USDA and FDA for the approval of the treatment and the establishment of a tolerance. This will permit the industry to begin use of this badly needed protective treatment.

6. Marketing research on peanuts recommends changes in sheller operating 8peeds.-The establishment of an AMS experimental peanut shelling plant provides facilities for obtaining much needed research data for developing improved machinery and operating methods for shelling, cleaning, and sorting peanuts. A study of operating speeds of shellers showed that a sheller speed of 290 revolution per minute commonly recommended and used by the trade is not the optimum speed in many cases. For example, a shelter speed of 225 to 250 revolutions per minute gave a much better outturn of whole kernel peanuts when shelling lots from the three producing areas than did a speed of 290 revolutions per minute. Also, the tests gave good evidence that sheller speeds should be varied between sheller stages for best results. With a difference of some 10 cents per pound between peanuts grading number 2 and those going into oil stock because of split and broken kernels, sheller operators need reliable research results to aid them in operating shellers to produce as many whole kernel peanuts as is practical.

7. Marketing facilities planning assistance furnished in many locations. Metropolitan wholesale markets.- Draft of the report on the study of the food marketing facilities in Boston has been completed. This report sets forth (a) the inadequacies and excess cost of handling food in existing facilities, (b) the amount of floor space needed to handle the products, (c) the best design of the facilities needed and a proper layout for them on an adequate site, (d) an evaluation of possible sites, (e) the estimated costs of the sites and the construction thereon, (f) the rentals that would have to be charged to make the project self-supporting, and (g) the savings in food handling costs that might be expected to result. In view of the desire of the city of Boston to proceed with the redevelopment of the area where more than 250 food wholesalers are located, it is planned to present the findings of the report with the aid of a scale model sometime this winter.

The study authorized a year ago of food marketing facilities in Chicago is proceeding at a rapid rate. AMS personnel are being assisted by those of a contractor who are helping collect data on the flow of products through the various handling operations in Chicago and determine the cost of each of these operations. AMS personnel are collecting the remainder of data, doing all the analytic work in connection with the study, and drawing the conclusions. Other cities in which market facilities planning work was done during the year include Detroit, Pittsburgh, New Bedford, and Springfield, Mass., Milwaukee and Baton Rouge.

Producing area markets: Assistance was provided in planning market facilities outside the major terminal areas for 23 poultry and egg markets, 11 meat and livestock markets and 2 fruit and vegetable markets, covering markets in 20 States.

8. Mechanixed chicken parts sizing and packing line developed.-Initial work has been completed on the development of a prototype line, for use by processing plants, in sizing and packing chicken parts in containers of exact predetermined weights. The line essentially consists of two components: (1) a parts classifier (by weight) with bins for receiving classified parts; and (2) a packing station equipped with a scale and "memory system." To pack seven drumsticks in a 1-pound package, six "sized” parts are placed in an empty package on the packing-station scale. A light then flashes over the bin from which the seventh drumstick must come to give the exact 1-pound weight. Estimates are that this equipment can save up to $100,000 annually in a large plant by reducing the amount of meat given away in overweight packages. The reduction in packing and weighing labor also should be sizable. However, because of unpredictable variations in part sizes between flocks and the initial cost, general acceptance of this equipment may be slow.

9. New process developed for determining the suitability of artificially dried corn for commercial uses.-AMS marketing research engineers have developed a quick and inexpensive process—and a device for performing the process that can detect damage to corn due to overheating during drying, through measurement of changes in hydroscopic properties of corn as a replacement for timeconsuming and expensive laboratory processes. Commercial users can employ the new process in selecting corn that will meet their individual requirements for wet milling and other end uses, as well as for safe storage. It can be performed by unskilled labor and can be applied routinely along with other grading standards. Development of this process represents a substantial “breakthrough" in providing a satisfactory measure of the suitability of corn for processing and storage and can effect savings to the industry amounting to many thousands of dollars annually. Applications for public patents on both the process and the device are being filed.

10. Improved method developed for precooling celery. A new sprinkler system for hydrocooling celery packed in wirebound boxes and stacked on pallets, has been developed as a replacement for the conventional method in which one crate at a time is moved through a commercial tunnel-type hydrocooler. Tests of the sprinkler system show that handling costs were reduced 66 percent (from 3 cents to 1 cent per crate) and the cooling rate (time) was reduced nearly 50 percent. Water and power consumption rates were slightly increased. Savings in handling costs would amount to $9.60 per equivalent carload. Ownership costs of a tunnel-type hydrocooler would be eliminated. Distribution of work effort

During fiscal year 1963, 66 line projects were completed or discontinued and 72 were initiated. A total of 235 were active at the beginning of 1964.

The resources of the marketing research program were used in 1963 and aro planned in 1964 and 1965 in the following principal areas of work:

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Mr. WHITTEN. We are glad to have with us Dr. Nyle C. Brady, Director of Science and Education.

Dr. Brady, we have followed the practice heretofore of having included in the record a résumé of the background and experience of those appearing for the first time. We will be glad to have a brief statement from you if you care to present one prior to turning to Dr. Shaw who deals with the day-to-day operations.

INTRODUCTORY STATEMENT BY DR. BRADY

Dr. Brady. Mr. Chairman and members of the committee, I am indeed pleased to meet with you to discuss the proposed programs and budgets of the Agricultural Research Service, the largest research agency in the U.S. Department of Agriculture.

May I make a few introductory comments before asking Dr. Shaw and his associates to report to you?

As for background on myself: I am a native of Colorado, having been born in a rural community in southern Colorado. My elementary and high school education was taken there. I got my B.S. degree from Brigham Young University in 1941, my Ph. D. at North Carolina State College in 1947, at which time I moved to Cornell University where I have been since.

Before coming with the Department, I was head of Cornell's Agronomy Department.

I have had some experience away from that institution, having worked for about 7 months down at the TVA. My profession is that of a soil scientist.

As you know, the position which I hold, Director of Science and Education, was set up by Secretary Freeman last December 1. Four agencies in the Department report to the Secretary through my office. They are the Agricultural Research Service, the Cooperative State Research Service, the Federal Extension Service, and the National Agricultural Library.

In addition to working with these very important research and education agencies, I have been given the responsibility of coordinating all research and education activities in the Department. Also, Secretary Freeman has designated me as the Department's representative on the Federal Council for Science and Technology which has the responsibility for interdepartmental coordination of research and education. He has also asked me to work with the State experiment station directors in improving the coordination of our total national agricultural research program.

Although I have been on the job for less than 3 months, I have been very much impressed with the research and education activities in the Department of Agriculture. I have likewise been impressed with the leadership in the various research agencies in the Department and with their willingness to critically evaluate their staff and programs and, when appropriate, to make necessary changes to improve them.

May I cite an example to illustrate this point. The research agency heads throughout the Department are cooperating in an internal study to determine if their scientists have good opportunities to keep up to date in their subject matter fields and if they are using these opportunities. The National Agricultural Library is making a survey to ascertain the availability of library facilities to Department scientists. An internal committee is being set up to evaluate the training and retraining opportunities for our research and education employees.

We are proud of the competence and accomplishments of USDA scientists. We want to help them maintain and even improve their high research and education standards.

The Department has a long history of working cooperatively with the State experiment stations in carrying out their joint research re

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sponsibilities. We are currently considering ways of formalizing our planning and coordinating efforts with the State experiment station directors. Our aim will be to develop jointly with them truly national agricultural research programs which will accomplish the greatest possible research output with the State, Federal, and other funds at our disposal.

As I call on the Administrator of the Agricultural Research Service, may I make a personal observation concerning this man and his associates.

In my opinion, agricultural research throughout this country is deeply indebted to Dr. Byron T. Shaw. He has taken the leadership in developing one of the strongest intramural research programs in the Federal Government.

At the same time his agency has developed good working relationships with the other Federal and State research organizations and has a record of keeping the Congress well informed of its activities.

We are proud of Dr. Shaw and his associates and are pleased to have them present their plans at this time.

Mr. WHITTEN. We appreciate your statement, Dr. Brady, and we are pleased to have you make the statements about Dr. Shaw. Those of us on the committee are familiar with his interest and his efforts, and those of his associates. Through the years we have learned some of the problems he has in dealing with other agencies and departments of the Federal Government and other groups throughout the country.

It is not always easy to get Health, Education, and Welfare, the military, or certain other groups in the field of research to recognize the absolute need for thought to be given to the various sides of these problems.

Dr. Shaw, we shall be glad to have your general statement. However, I think at this point, since you are here primarily to justify the budget for the Department, you might tell us what work has been eliminated in the budget and where the facilities are, and things of that sort. I think with that before us your general statement will probably mean a little more to us.

Also we would like to know what limitations have been imposed on you in the use of manpower and things of that sort.

SOUTHEASTERN UTILIZATION RESEARCH LABORATORY

May I say too, we would be interested in what your plans are in connection with this southeastern laboratory that the Congress authorized last year. And for the record, it was agreed by the conferees at that time that this laboratory would not in any way replace the work nor the activities at the New Orleans laboratory. I mention that at this point, because we do not want you to do a lot of planning which is not in accord with the intent of the Congress.

So you might cover that first, if you will, and then present your statement.

Dr. Shaw. On the Southeastern Utilization Research Laboratory, our plans are to build a laboratory similar in design to the other four regional laboratories we now have. It is intended that we would work on poultry utilization research there, and on fruits and vege

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