An Act to authorize the President to use agricultural commodities to improve the foreign relations of the United States, and for other purposes
PL 83-480 (S.2475), enacted 07/10/1954

454 
PUBLIC LAW 479-JULY 8, 1954 
[68 ST A T . 
expended for the purpose of relocating the members of the Yankton 
Sioux Tribe, South Dakota, who reside or have resided, on tribal and 
allotted lands acquired by the United States for the Fort Randall 
Dam and Reservoir project, Missouri River Development, in a manner 
that will reestablish and protect their economic, social, religious, and 
community life. 
Title to any lands acquired within Indian country 
pursuant to this section shall be taken in the name of the United States 
m trust for the Yankton Sioux Tribe or members thereof. The said 
sum of $106,500 shall be assessed against the costs of the Fort Randall 
Dam and Reservoir, Missouri River Development. 
Approved July 6, 1954. 
July 8, 1954 
[H. R. 
Public Law 479 
CHAPTER 466 
AN ACT 
6465] 
To amend paragraph 1530 of the TarifE Act of 1930 with respect to footwear. 
Be it enacted hy the Senate and House of Representatives 
of the 
footwearf*"'"^*** United States of America in Congress assembled^ That paragraph 
Dutv. 
1530 (e) of the Tariff Act of 1930, as amended, is amended by adding 
19 usc'iooi'par. at the end thereof the following: "For the purposes of this paragraph 
1530(e). 
Effective date. 
and any existing or future proclamation of the President relating 
thereto, footwear of which a major portion, in area, of the basic wear-
ing surface of the outer soles (that part of the article, not including 
the heel, that is designed to be the basic wearing surface and to resist 
wear on contact with any surface) is composed of india rubber or any 
substitute for rubber, or both, shall be deemed to have soles wholly 
or in chief value of india rubber or substitutes for rubber." 
The 
foregoing amendment shall enter into force as soon as practicable, 
on a date to be specified by the President in a notice to the Secretary 
of the Treasury following such negotiations as may be necessary to 
effect a modification or termination of any international obligations 
of the United States with which the amendment might conflict, but 
in any event not later than one hundred and eighty days after the 
passage of this Act. 
Approved July 8, 1954. 
July 10,1954 
[S.2475] 
Public Law 480 
CHAPTER 469 
AN ACT 
To increase the consumption of United States agricultural commodities in foreign 
countries, to improve the foreign relations of the United States, and for other 
purposes. 
Trade 
D e v e l o p -
m e n t and Assist-
ance Act of 1954. 
Be it enacted by the /Senate and House of Representatives 
of the 
United States of America in Congress assembled, That this Act may be 
cited as the "Agricultural Trade Development and Assistance Act of 
1954". 
SEC, 2. It is hereby declared to be the policy of Congress to expand 
international trade among the United States and friendly nations, to 
facilitate the convertibility of currency, to promote the economic sta-
bility of American agriculture and the national welfare, to make maxi-
mum efficient use of surplus agricultural commodities in furtherance 
of the foreign policy of the United States, and to stimulate and facili-
tate the expansion of foreign trade in agricultural commodities pro-
duced in the United States by providing a means whereby surplus 
agricultural commodities in excess of the usual marketings of such 
68 
S T A T . ] 
PUBLIC LAW 480-JULY 10, 1954 
455 
commodities may be sold through private trade channels, and foreign 
currencies accepted in payment therefor. It is further the policy to 
use foreign currencies which accrue to the United States under this 
Act to expand international trade, to encourage economic develop-
ment, to purchase strategic materials, to pay United States obligations 
abroad, to promote collective strength, and to foster in other ways the 
foreign policy of the United States. 
TITLE I—SALES FOR FOREIGN CURRENCY 
SEC 101. In furtherance of this policy, the President is authorized to 
negotiate and carry out agreements with friendly nations or organiza-
tions of friendly nations to provide for the sale of surplus agricultural 
commodities for foreign currencies. 
In negotiating such agreements 
the President shall— 
(a) take reasonable precautions to safeguard usual marketings 
of the United States and to assure that sales under this Act will 
not unduly disrupt w'orld prices of agricultural commodities; 
(b) take appropriate steps to assure that private trade channels 
are used to the maximum extent practicable both with respect to 
sales from privately owned stocks and from stocks owned by the 
Commodity Credit Corporation; 
(c) give special consideration to utilizing the authority and 
funds provided by this Act, in order to develop and expand con-
tinuous market demand abroad for agricultural commodities, with 
appropriate emphasis on underdeveloped and new market areas; 
(d) seek and secure commitments from participating countries 
that will prevent resale or transshipment to other countries, or use 
for other than domestic purposes, of surplus agricultural com-
modities purchased under this Act, without specific approval of 
the President; and 
(e) afford any friendly nation the maximum opportunity to 
purchase surplus agricultural commodities from the United States, 
taking into consideration the opportunities to achieve the declared 
policy of this Act and to make effective use of the foreign curren-
cies received to carry out the purposes of this Act. 
SEC, 102. (a) For the purpose of carrying out agreements concluded 
by the President hereunder, the Commodity Credit Corporation, in 
accordance with regulations issued by the President pursuant to sub-
section (b) of this section, (1) shall make available for sale hereunder 
at such points in the United States as the President may direct surplus 
agricultural commodities heretofore or hereafter acquired by the Cor-
poration in the administration of its price support operations, and (2) 
shall make funds available to finance the sale and exportation of sur-
plus agricultural commodities from stocks owned by the Corporation 
or pledged or mortgaged as security for price support loans or from 
stocks privately owned if the Corporation is not in a position to supply 
the commodity from its owned stocks: Provided^ That to facilitate the 
use of private trade channels the Corporation, even though it is in a 
position to supply the commodity, may finance the sale and exportation 
of privately owned stocks if the Corporation's stocks are reduced 
through arrangements whereby the private exporter acquires the same 
commodity of comparable value or quantity from the Commodity 
Credit Corporation. 
In supplying commodities to private exporters 
under such arrangements Commodity Credit Corporation shall not be 
subject to the sales price restriction in section 407 of the Agricultural 
Act of 1949, as amended. 
S a l e of surplus 
commoditiesa 
Agreements. 
•U« S. marketlngSa 
Private trade. 
N e w 
m a r k e t 
areas, etc. 
R e s a l e preven-
tion, etc. 
Purchase oppor-
tunity. 
C C C 
s u r p l u s 
commodities. 
Availability. 
Funds for export, 
etc. 
Private e x p o r t -
ers. 
Post, p. 458. 
456 
PUBLIC LAW 480-JULY 10, 1954 
[68 ST A T . 
Letters of com-
mitmenta 
54 Stat. 1029. 
31 u s e 203; 41 
use 15. 
Appropri at ion. 
eCC payments. 
Limitation. 
Use of f o r e i g n 
currencies. 
66 Stat. 662. 
31 u s e 724. 
60 Stat. 596. 
50 u s e 98 note. 
50 u s e 98b. 
(b) In order to facilitate and maximize the use of private channels 
of trade in carrying out agreements entered into pursuant to this Act, 
the President may, under such regulations and subject to such safe-
guards as he deems appropriate, provide for the issuance of letters of 
commitment against funds or guaranties of funds supplied by the 
Commodity Credit Corporation and for this purpose accounts may be 
established on the books of any department, agency, or establishment 
of the Government, or on terms and conditions approved by the Secre-
tary of the Treasury in banking institutions in the United States. 
Such letters of commitment, when issued, shall constitute obligations 
of the United States and moneys due or to become due thereunder shall 
be assignable under the Assignment of Claims Act of 1940. 
Expendi-
tures of funds which have been made available through accounts so 
established shall be accounted for on standard documentation required 
for expenditures of Government funds. 
SEC. 103. (a) For the purpose of making payment to the Com-
modity Credit Corporation to the extent the Commodity Credit Cor-
poration is not reimbursed under section 105 for commodities disposed 
of and costs incurred under titles I and I I of this Act, there are hereby 
authorized to be appropriated such sums as are equal to (1) the Cor-
poration's investment in commodities made available for export under 
this title and title I I of this Act, including processing, packaging, 
transportation, and handling costs, and (2) all costs incurred by the 
Corporation in making funds available to finance the exportation of 
surplus agricultural commodities pursuant to this title. Any funds 
or other assets available to the Commodity Credit Corporation may 
be used in advance of such appropriation or payments, for carrying 
out the purposes of this Act. 
(b) Transactions shall not be carried out under this title which will 
call for appropriations to reimburse the Commodity Credit Corpora-
tion, pursuant to subsection (a) of this section, in amounts in excess 
of $700,000,000. 
SEC. 104. Notwithstanding section 1415 of the Supplemental Appro-
priation Act, 1953, or any other provision of law, the President may 
use or enter into agreements with friendly nations or organizations of 
nations to use the foreign currencies which accrue under this title for 
one or more of the following purposes: 
(a) To help develop new markets for United States agricul-
tural commodities on a mutually benefiting basis; 
(b) To purchase or contract to purchase strategic and critical 
materials, within the applicable terms of the Strategic and Criti-
cal Materials Stockpile Act, for a supplemental United States 
stockpile of such materials as the President may determine from 
time to time under contracts, including advance payment con-
tracts, for supply extending over periods up to ten years. 
All 
strategic and critical materials acquired under authority of this 
title shall be placed in the above named supplemental stockpile 
and may be additional to the amounts acquired under authority 
of the Strategic and Critical Materials Stockpile Act. 
Materials 
so acquired shall be released from the supplemental stockpile only 
under the provisions of section 3 of the Strategic and Critical 
Materials Stockpile Act; 
(c) To procure military equipment, materials, facilities, and 
services for the common defense; 
(d) For financing the purchase of goods or services for other 
friendly countries; 
(e) For promoting balanced economic development and trade 
among nations; 
68 
S T A T . ] 
PUBLIC LAW 480-JULY 10, 1954 
457 
(f) To pay United States obligations abroad; 
(g) For loans to promote multilateral trade and economic 
development, made through established banking facilities of the 
friendly nation from which the foreign currency was obtained or 
in any other manner which the President may deem to be 
appropriate. Strategic materials, services, or foreign currencies 
may be accepted in payment of such loans; 
(h) For the financing of international educational exchange 
activities under the programs authorized by section 32 (b) (2) of 
the Surplus Property Act of 1944, as amended (50 U. S. C. App. 
1641(b)). 
Provided^ however^ That section 1415 of the Supplemental Appropria-
tion Act, 1953, shall apply to all foreign currencies used for grants 
under subsections (d) and (e) and for payment of United States 
obligations involving grants under subsection (f) and to not less than 
10 per centum of the foreign currencies which accrue under this title: 
Provided^ howe'ver^ That the President is authorized to waive such 
applicability of section 1415 in any case where he determines that it 
would be inappropriate or inconsistent with the purposes of this title. 
SEC. 105. Foreign currencies received pursuant to this title shall be 
deposited in a special account to the credit of the United States and 
shall be used only pursuant to section 104 of this title, and any depart-
ment or agency of the government using any of such currencies for a 
purpose for which funds have been appropriated shall reimburse the 
Commodity Credit Corporation in an amount equivalent to the dollar 
value of the currencies used. 
SEC. 106. As used in this Act, "surplus agricultural commodity" 
shall mean any agricultural commodity or product thereof, class, kind, ity 
type, or other specification thereof, produced in the United States, 
either privately or publicly owned, which is or may be reasonably 
expected to be in excess of domestic requirements, adequate carryover, 
and anticipated exports for dollars, as determined by the Secretary of 
Agriculture. 
SEC. 107. As used in this Act, "friendly nation" means any country 
other than (1) the U. S. S. R., or (2) any nation or area dominated or 
controlled by the foreign government or foreign organization con-
trolling the world Communist movement. 
SEC. 108. The President shall make a report to Congress with 
respect to the activities carried on under this Act at least once each 
six months and at such other times as may be appropriate and such 
reports shall include the dollar value, at the excnan^e rates in effect 
at the time of the sale, of the foreign currency for which commodities 
exported pursuant to section 102 (a) hereof are sold. 
SEC. 109. No transactions shall be undertaken under authority of 
this title after June 30, 1957, except as required pursuant to agree-
ments theretofore entered into pursuant to this title. 
58 Stat. 782. 
31 u s e 724. 
Waiver. 
Special accounts 
" S u r p l u s agri-
cultural cotnmod-
" F r i e n d l y na-
tion." 
R e p o r t to Con-
gress. 
Termination. 
TITLE II—FAMINE RELIEF AND OTHER ASSISTANCE 
SEC. 201. In order to enable the President to furnish emergency 
assistance on behalf of the people of the United States to friendly 
peoples in meeting famine or other urgent relief requirements, the 
Commodity Credit Corporation shall make available to the President 
out of its stocks such surplus agricultural commodities (as defined in 
section 106 of title I) f. o. b. vessels in United States ports, as he may 
request, for transfer (1) to any nation friendlv to the United States 
in order to meet famine or other urgent relief requirements of such 
nation, and (2) to friendly but needy populations without regard to 
the friendliness of their government. 
Em 
lief. e r g e ncy re-
458 
PUBLIC LAW 480-JULY 10, 1954 
[68 ST A T . 
Limitation. 
Termination. 
SEC. 202. The President may authorize the transfer on a grant basis 
of surplus agricultural commodities from Commodity Credit Cor-
poration stocks to assist programs undertaken with friendly govern-
ments or through voluntary relief agencies: Provided^ That the Presi-
dent shall take reasonable precaution that such transfers will not 
displace or interfere with sales which might otherwise be made. 
SEC. 203. Not more than $300,000,000 (including the Corporation's 
investment in the commodities) shall be expended for all transfers, 
including delivery on board vessels in United States ports, under this 
title. The President may make such transfers through such agencies 
including intergovernmental organizations, in such manner, and upon 
such terms and conditions as he deems appropriate; he shall make 
use of the facilities of voluntary relief agencies to the extent prac-
ticable. 
SEC. 204. No programs of assistance shall be undertaken under the 
authority of this title after June 30,1957. 
TITLE III—GENERAL PROVISIONS 
63 Stat. 1055. 
7 u s e 1427. 
Sale of farm comi-
modities. 
U. S. relief. 
64 Stat. 1109. 
4 2 u s e 
1 8 5 5 -
1855g. 
7 u s e 1431. 
Perishable com-
modities. 
Disposal. 
SEC. 301. Section 407 of the Agricultural Act of 1949 is amended 
by adding at the end thereof the following: "Notwithstanding the 
foregoing, the Corporation, on such terms and conditions as the Secre-
tary may deem in the public interest, shall make available any farm 
commodity or product thereof owned or controlled by it for use in 
relieving distress (1) in any area in the United States declared by the 
President to be an acute distress area because of unemployment or 
other economic cause if the President finds that such use will not dis-
place or interfere with normal marketing of agricultural commodities 
and (2) in connection with any major disaster determined by the 
President to warrant assistance by the Federal Government under 
Public Law 875, Eighty-first Congress, as amended (42 U. S. C. 1855). 
Except on a reimbursable basis, the Corporation shall not bear any 
costs in connection with making such commodity available beyond 
the cost of the commodities to the Corporation in store and the 
handling and transportation costs in making delivery of the commod-
ity to designated agencies at one or more central locations in each 
State." 
SEC. 302. Section 416 of the Agricultural Act of 1949 is amended to 
read as follows: 
"SEC. 416. In order to prevent the waste of commodities acquired 
through price-support operations by the Commodity Credit Corpora-
tion before they can be disposed of m normal domestic channels with-
out impairment of the price-support program or sold abroad at 
competitive world prices, the Commodity Credit Corporation is 
authorized, on such terms and under such regulations as the Secretary 
may deem in the public interest: (1) upon application, to make such 
commodities available to any Federal agency for use in making pay-
ment for commodities not produced in the United States; (2) to barter 
or exchange such commodities for strategic or other materials as 
authorized by law; (3) in the case of food commodities to donate such 
commodities to the Bureau of Indian Affairs and to such State, Fed-
eral, or private agency or agencies as may be designated by the proper 
State or Federal authority and approved by the Secretary, for use in 
the United States in nonprofit school-lunch programs, in the assistance 
of needy persons, and in charitable institutions, including hospitals, to 
the extent that needy persons are served; and (4) to donate any such 
food commodities in excess of anticipated disposition under (1), (2), 
and (3) above to nonprofit voluntary agencies registered with the 
Committee on Voluntary Foreign Aid of the Foreign Operations Ad-
ministration or other appropriate department or agency of the Federal 
68 S T A T . ] 
PUBLIC LAW 4 8 0 - J U L Y 10, 1954 
459 
Government and intergovernmental organizations for use in the as-
sistance of needy persons outside the United States. In the case of 
(3) and (4) above the Secretary shall obtain such assurance as he 
deems necessary that the recipients thereof will not diminish their nor-
mal expenditures for food by reason of such donation. In order to 
facilitate the appropriate disposal of such commodities, the Secretary 
may from time to time estimate and announce the quantity of such 
commodities which he anticipates will become available for distribu-
tion under (3) and (4) above. The Commodity Credit Corporation et?.*?h»'^es/"^^' 
may pay, with respect to commodities disposed of under this section, 
reprocessing, packaging, transporting, handling, and other charges 
accruing up to the time of their delivery to a Federal agency or to the 
designated State or private agency, in the case of commodities made 
available for use within the United States, or their delivery free along-
side ship or free on board export carrier at point of export, in the case 
of commodities made available for use outside the United States. 
For 
the purpose of this section the terms 'State' and 'United States' include 
the District of Columbia and any Territory or possession of the 
United States." 
SEC. 303. Whenever the Secretary has reason to believe that, in 
Barter authority, 
addition to other authorized methods and means of disposing of agri-
cultural commodities owned by the Commodity Credit Corporation, 
there may be opportunity to protect the funds and assets of the Com-
modity Credit Corporation by barter or exchange of such agricultural 
commodities for (a) strategic materials entailing less risk of loss 
through deterioration or substantially less storage charges, or (b) 
materials, goods or equipment required in connection with foreign 
economic and military aid and assistance programs, or (c) materials 
or equipment required in substantial quantities for offshore construc-
tion programs, he is hereby directed to use every practicable means, 
in cooperation with other Government agencies, to arrange and make, 
through private trade channels, such barters or exchanges or to utilize 
the authority conferred on him by section 4 (h) of the Commodity 
Credit Corporation Charter Act, as amended, to make such barters 
62 st^u i07i. 
or exchanges. Agencies of the United States Government procuring 
such materials, goods or equipment are hereby directed to cooperate 
with the Secretary in the disposal of surplus agricultural commodities 
by means of barter or exchange. Strategic materials so acquired by 
the Commodity Credit Corporation shall be considered as assets of the 
Corporation and other agencies of the Government, in purchasing 
strategic materials, shall purchase such materials from Commodity 
Credit Corporation inventories to the extent available in fulfillment 
of their requirements. 
The Secretary is also directed to assist, 
through such means as are available to him, farmers' cooperatives in 
effecting exchange of agricultural commodities in their possession for 
strategic materials. 
SEC. 304. The President shall exercise the authority contained tradte^^et*/"***" * 
herein (1) to assist friendly nations to be independent of trade with 
the U. S. S. R. or nations dominated or controlled by the U. S. S. R. 
for food, raw materials and markets, and (2) to assure that agricul-
tural commodities sold or transferred hereunder do not result in 
increased availability of those or like commodities to unfriendly 
nations. 
SEC. 305. All Commodity Credit Corporation stocks disposed of 
MaAing of pack-
under title I I of this Act and section 416 of the Agricultural Act of *^*** 
1949, as amended, shall be clearly identified by, as far as practical, 
^"'«' P* '•SS. 
appropriate marking on each package or container as being furnished 
by the people of the United States of America. 
Approved July 10, 1954.