USDA ANNOUNCES POTATO DIVERSION PROGRAM

                                              Release No. 0156.97

                                 Connie Crunkleton (202) 720-8998
                                             ccrunkleton@usda.gov
                                     Jerry Redding (202) 720-6959
                                                jredding@usda.gov


USDA ANNOUNCES POTATO DIVERSION PROGRAM

     WASHINGTON, May 9, 1997--Agriculture Secretary Dan Glickman today
announced that the U.S. Department of Agriculture plans to pay potato
growers to divert 1996-crop fresh Irish round white and russet potatoes to
charitable institutions or for use as livestock feed. 

     The Department will set an established payment rate for diversion of
1996-crop fresh Irish round white and russet potatoes that go into the
program..  Potatoes offered for diversion must meet minimum grade
requirements and must be inspected and certified by state or federal
inspectors.

     Details and specifications of the diversion plan will be published
soon in the Federal Register and will be come effective on the date of
publication.

     On May 5, the Department announced plans to purchase $25.5 million
worth of potatoes in the surplus removal of more than 41 million pounds of
dehydrated, frozen and canned potatoes.  An additional purchase for
dehydrated granule potatoes will be announced shortly.

     Further information may be obtained from the Commodity Procurement
Branch, Fruit and Vegetable Division, Agricultural Marketing Service, USDA,
P.O. Box 96456, Room 2548-South Building, Washington, D.C. 20090-6456,
telephone 202/720-6391.

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