Op-Ed5/30/00 -- Dean C. Pappas, CEO of Clement Pappas & Co. writes: A May 24th Stressline article (May 16 "Summit" Could Change Rules) inaccurately described a meeting at USDA that included Clement Pappas, Cliffstar, Ocean Spray and others concerned about the structure of a volume control regulation. The meeting was convened by USDA to discuss the proposal that was forwarded to the Department by the Cranberry Marketing Committee (CMC). Clement Pappas and Cliffstar are concerned that this proposal, although well intentioned, would be unfair to many growers. Indeed, everyone at the meeting, including Ocean Spray, agreed that the CMC's proposal would have an inequitable impact. By all accounts, the meeting was productive, and a number of alternative methods of calculating a grower's sales history were discussed. Alternative methods were discussed for one reason - to ensure that growers are treated fairly and equitably. The May 24th Stressline article described one option that would require growers to dispose of over 30% of their crop. This option was discussed. The 30% figure, however, was calculated by the CMC after it had the opportunity to see how grower history calculations would change. Neither Clement Pappas nor Cliffstar would support a proposal that would require our growers to dispose of 30% of their crop. The article also indicated that the meeting may have included a discussion or an agreement to sell fruit or concentrate at or below cost. This did not occur, and given the number of competitors in the room it would probably have been illegal. The meeting focused only on the CMC's proposed volume control regulation and its method for calculating a grower's sales history. Clement Pappas and Cliffstar remained committed to protecting their growers. The CMC made an admirable attempt to craft a volume control regulation, but that proposal is fundamentally flawed because of its inequitable impact. Hopefully, the USDA meeting will help move this process toward a fair and equitable conclusion. |