National Defense Stockpile Market Impact Committee Request for Public Comments

DEPARTMENT OF COMMERCE

Bureau of Export Administration

National Defense Stockpile Market Impact Committee Request for

Public Comments

AGENCY: Office of Strategic Industries and Economic Security, Bureau of

Export Administration, U.S. Department of Commerce.

ACTION: Request for public comment on the potential market impact of

proposed revisions to certain material quantities under the FY 1999

Annual Materials Plan (AMP) of National Defense Stockpile disposals.

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SUMMARY: This notice is to advise the public that the National Defense

Stockpile Market Impact Committee seeks comments from the public

concerning the potential market impact of the Department of Defense's

planned disposals of excess materials currently held in the National

Defense Stockpile. The FY 1999 AMP materials under review are Graphite

(All), Columbium (Ferro), Bauxite (refractory, Jamaican, and Surinam),

Tantalum (Carbide Powder), and Aluminum Oxide (Fused Crude).

DATE: Comments must be received by July 6, 1998.

ADDRESSES: Written comments should be sent to Richard V. Meyers, Co-

Chair, Stockpile Market Impact Committee, Office of Strategic

Industries and Economic Security, Room 3876, U.S. Department of

Commerce, 14th Street and Constitution Avenue, N.W., Washington, D.C.

20230; FAX (202) 482-5650.

FOR FURTHER INFORMATION CONTACT: Richard V. Meyers, Office of Strategic

Industries and Economic Security, U.S. Department of Commerce, (202)

482-3634; or Stephen H. Muller, Office of International Energy and

Commodity Policy, U.S. Department of State, (202) 647-3423; co-chairs

of the National Defense Stockpile Market Impact Committee.

SUPPLEMENTARY INFORMATION: Under the authority of the Strategic and

Critical Materials Stock Piling Act of 1979, as amended, (50 U.S.C. 98

et seq.), the Department of Defense (DOD), as National Defense

Stockpile Manager, maintains a stockpile of strategic and critical

materials to supply the military, industrial, and essential civilian

needs of the United States for national defense. Section 3314 of the

Fiscal Year (FY) 1993 National Defense Authorization Act (NDAA) (50

U.S.C. 98h-1) formally established a Market Impact Committee (the

Committee) to ``advise the National Defense Stockpile Manager on the

projected domestic and foreign economic effects of all acquisitions and

disposals of materials from the stockpile * * *.'' The Committee must

also balance market impact concerns with the statutory requirement to

protect the Government against avoidable loss.

The Committee is comprised of representatives from the Departments

of Commerce, State, Agriculture, Defense, Energy, Interior, Treasury

and the Federal Emergency Management Agency and is co-chaired by the

Departments of Commerce and State. The FY 1993 NDAA directs the

Committee to ``consult from time to time with representatives of

producers, processors and consumers of the types of materials stored in

the stockpile.''

Because of current industry demand and favorable market conditions,

DOD has requested the Committee to consider proposed revisions to AMP

disposal levels for Graphite (All), Columbium (Ferro), Bauxite

(refractory, Jamaican, and Surinam), Tantalum (Carbide Powder), and

Aluminum Oxide (Fused Crude) from the National Defense Stockpile in

Fiscal Year (FY) 1999. In order for the Committee to obtain sufficient

information to prepare its recommendations to DOD, the Committee

requests that interested parties provide comment on the potential

market impact of the proposed revised disposals of these commodities.

Included with the AMP listing of materials below are the proposed

maximum disposal quantity for each material. These quantities are not

sales target disposal quantities. They are only a statement of the

proposed maximum disposal quantity of each material that may be sold in

a particular fiscal year. The quantity of each material that will

actually be offered for sale will depend on the market for the material

at the time as well as on the quantity of material approved for

disposal by Congress.

Proposed Revisions to Fiscal Year 1999 AMP

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Current FY Revised FY

Material Units 1999 1999

quantity quantity

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Aluminum Oxide (Fused Crude)..................... ST 30,000 65,000

Bauxite (Jamaican)............................... LDT 1,200,000 2,000,000

Bauxite (Refractory)............................. LCT 80,000 90,000

[[Page 30184]]

Bauxite (Surinam)................................ LDT 800,000 1,500,000

Columbium (Ferro)................................ Lb Cb 200,000 400,000

Graphite (All)................................... ST 2,660 3,760

Tantalum (Carbide Powder)........................ Lb Ta 2,000 4,000

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The Committee requests that interested parties provide written

comments, supporting data and documentation, and any other relevant

information on the potential market impact of the sale of these

commodities. Although comments in response to this Notice must be

received by July 6, 1998 to ensure full consideration by the Committee,

interested parties are encouraged to submit additional comments and

supporting information at any time thereafter to keep the Committee

informed as to the market impact of the sale of these commodities.

Public comment is an important element of the Committee's market impact

review process.

Public comments received will be made available at the Department

of Commerce for public inspection and copying. Material that is

national security classified or business confidential will be exempted

from public disclosure. Anyone submitting business confidential

information should clearly identify the business confidential portion

of the submission and also provide a non-confidential submission that

can be placed in the public file. Communications from agencies of the

United States Government will not be made available for public

inspection.

The public record concerning this notice will be maintained in the

Bureau of Export Administration's Records Inspection Facility, Room

4525, U.S. Department of Commerce, 14th Street and Constitution Avenue,

NW, Washington, DC 20230, telephone (202) 482-5653. The records in this

facility may be inspected and copied in accordance with the regulations

published in Part 4 of Title 15 of the Code of Federal Regulations (15

CFR 4.1 et seq.).

Information about the inspection and copying of records at the

facility may be obtained from Ms. Margaret Cornejo, the Bureau of

Export Administration's Freedom of Information Officer, at the above

address and telephone number.

Dated: May 29, 1998.

William J. Denk,

Acting Director, Strategic Industries and Economic Security.

[FR Doc. 98-14666 Filed 6-2-98; 8:45 am]

BILLING CODE 3510-33-P