03-26106. National Defense Stockpile Market Impact Committee Request for Public Comments on the Potential Market Impact of Proposed Stockpile Disposals in FY 2004 and FY 2005

AGENCY:

U.S. Department of Commerce.

ACTION:

Notice of inquiry.

SUMMARY:

This notice is to advise the public that the National Defense Stockpile Market Impact Committee (co-chaired by the Departments of Commerce and State) is seeking public comments on the potential market impact of proposed changes in the disposal levels of excess materials under the Fiscal Year 2004 Annual Materials Plan and proposed disposal levels under the Fiscal Year 2005 Annual Materials Plan.

DATES:

Comments must be received by November 17, 2003.

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, Bureau of Industry and Security, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 20230; FAX [phone]; E-mail: [e-mail].

FOR FURTHER INFORMATION CONTACT:

The co-chairs of the National Defense Stockpile Market Impact Committee. Contact either Richard V. Meyers, Office of Strategic Industries and Economic Security, Bureau of Industry and Security, U.S. Department of Commerce, [phone]; or James Steele, Office of Bilateral Trade Affairs, Bureau of Economic and Business Affairs, U.S. Department of State, [phone].

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 Department of Homeland Security, 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.”

The National Defense Stockpile Administrator is proposing (1) revision of the previously approved FY 2004 Annual Materials Plan (“AMP”) quantities for four materials, and (2) the new FY 2005 AMP, as set forth in Attachment 1. The Committee is seeking public comments on the potential market impact of the sale of these materials as proposed in the revision of the FY 2004 AMP and the FY 2005 AMP.

The AMP quantities are not targets for either sale or disposal. They are only a statement of the proposed maximum disposal quantity of each listed 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 of the offering as well as on the quantity of each material approved for disposal by Congress.

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 November 17, 2003 to ensure full consideration by the Committee, interested parties are encouraged to submit 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 comments are 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. 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. The Committee will seek to protect such information to the extent permitted by law.

The records related to this Notice will be made accessible in accordance with the regulations published in Part 4 of Title 15 of the Code of Federal Regulations (15 CFR 4.1, et seq.). Specifically, the Bureau of Industry and Security's Freedom of Information Act (“FOIA”) reading room is located on its Web page, which can be found at http://www.bis.doc.gov,, and copies of the public comments received will be maintained at that location (see Freedom of Information Act (FOIA) heading). If requesters cannot access the web site, they may call [phone] for assistance.

Dated: October 9, 2003.

Matthew S. Borman,

Acting Assistant Secretary for Industry and Security, Bureau of Industry and Security, Department of Commerce.

Attachment 1—Proposed Revision to FY 2004 Annual Material Plan (AMP) and Proposed FY 2005 AMP

Material	Units	Current FY 2004 quantity	Revised FY 2004 quantity	Proposed FY 2005 quantity
Aluminum Oxide, Abrasive	ST	6,000		1 6,000
Bauxite, Refractory	LCT	1 43,000		1 43,000
Beryl Ore	ST	1 4,000		1 4,000
Beryllium Metal	ST	40		40
Beryllium Copper Master Alloy	ST	1 1,200		1 1,200
Cadmium	LB	1 400,000		0
Celestite	SDT	1 12,794		1 6,000
Chromite, Chemical	SDT	1 100,000		1 100,000
Chromite, Refractory	SDT	1 100,000		1 100,000
Chromium, Ferro	ST	150,000	110,000	110,000
Chromium, Metal	ST	500		500
Cobalt	LB Co	6,000,000		6,000,000
Columbium Concentrates (Minerals)	LB Cb	560,000		560,000
Columbium Metal Ingots	LB Cb	20,000		20,000
Diamond Stone	ct	1 600,000		1 400,000
Fluorspar, Acid Grade	SDT	1 12,000		1 12,000
Fluorspar, Metallurgical Grade	SDT	1 60,000		1 60,000
Germanium	KG	8,000		8,000
Graphite	ST	1 2,000		0
Iodine	LB	1,000,000		1,000,000
Jewel Bearings	PC	1 82,051,558		1 82,051,558
Kyanite	SDT	0	50	0
Lead	ST	60,000		1 60,000
Manganese, Battery Grade Natural	SDT	30,000		30,000
Manganese, Battery Grade Synthetic	SDT1 3,011		1 3,011
Manganese, Chemical Grade	SDT	40,000		1 40,000
Manganese, Ferro	ST	50,000		50,000
Manganese, Metal Electrolytic	ST	2,000		1 2,000
Manganese, Metallurgical Grade	SDT	1 250,000		1 250,000
Mica (All Types)	LB	1 5,000,000		1 1,000,000
Palladium	Tr Oz	1 3 200,000		1 3 100,000
Platinum	Tr Oz	1 25,000		1 25,000
Platinum—Iridium	Tr Oz	6,000		6,000
Quartz Crystals	LB	1 150,000		1 25,000
Quinidine	Oz	1 2,211,122		0
Sebacic Acid	LB	600,000		1 600,000
Talc	ST	1 1,000		1 1,000
Tantalum Carbide Powder	LB Ta	1 4,000	1 4,000
Tantalum Metal Ingots	LB Ta	1 40,000		1 40,000
Tantalum Metal Powder	LB Ta	1 40,000		1 40,000
Tantalum Minerals	LB Ta	500,000		1 500,000
Tantalum Oxide	LB Ta	20,000		20,0001
Thorium Nitrate	LB	1 2 7,100,000		1 2 7,100,000
Tin	MT	12,000		12,000
Titanium Sponge	ST	7,000		1 7,000
Tungsten, Ferro	LB W	300,000		300,000
Tungsten, Metal Powder	LB W	300,000		300,000
Tungsten Ores & Concentrates	LB W	4,000,000		4,000,000
Vegetable Tannin Extract, Chestnut	LT	0	250	1 250
Vegetable Tannin Extract, Quebracho	LT	50,000		1 50,000
Vegetable Tannin Extract, Wattle	LT	0	6,500	1 6,500
Zinc	ST	50,000		50,000
Notes:
1 Actual quantity will be limited to remaining sales authority or inventory.
2 The radioactive nature of this material may restrict sales or disposal options. Efforts are underway to determine the environmentally and economically feasible disposition of the material.
3 Pending legislative authority.