1987 U.S. SOYBEAN LOAN SHOULD STAY SAME-AMSTUTZ Congress should give the U.S. Agriculture Secretary the authority to keep the 1987 soybean loan rate at the current effective rate of 4.56 dlrs per bushel in order to help resolve the problem of soybean export competitiveness, USDA undersecretary Dan Amstutz said. Speaking to reporters following a Senate Agriculture Appropriations hearing, Amstutz suggested that one way out of the current soybean program "dilemma" would be for Congress to allow the loan rate to remain at 4.56 dlrs. He indicated if the loan rate were 4.56 dlrs, USDA could then consider ways to make U.S. soybeans more competitive such as using certificates to further buydown the loan rate. Under current law, the 1987 soybean loan rate cannot be less than 4.77 dlrs per bu. Amstutz' suggestion would be for Congress to change the farm bill to allow USDA to leave the soybean loan rate at 4.56 dlrs in crop year 1987 rather than increase it to 4.77 dlrs. The 1986 effective loan rate is 4.56 dlrs because of the 4.3 pct Gramm-Rudman budget cut. Amstutz stressed that a major factor in any decision on soybean program changes will be the budget costs. He told the hearing that the problem in soybeans is that the U.S. loan rate provides an "umbrella" to foreign production and causes competitive problems for U.S. soybeans. Asked about the American Soybean Association's request for some form of income support, Amstutz said "the competitive problem is the most severe." He said USDA is still studying the situation and "no resolution" has yet been found.