American agriculture faces increasing, intense competition in the global marketplace.  Worldwide, agricultural production has increased faster than demand in many areas, resulting in commodity surpluses, low prices, and unreliable profitability.  Recent shifts in U.S. farm policy to remove price supports emphasize the need for American agriculture to move beyond production of ever-larger quantities of ever-cheaper commodities.  In response, farmers and ranchers must be able to produce higher-quality products that can be differentiated from lower-value commodities; commodities and co-products must be converted into useful value-added food and nonfood products; and products must be protected from contamination or loss of quality after harvest to ensure marketability.  Research must also be responsive to consumer demands for high quality, safe products; government and consumer pressures to provide products that are environmentally friendly or that are produced using processes that are friendly to people, animals, and the environment; and the need for a sustainable and profitable agricultural production system.  In this program, research will develop knowledge and technology for crop and animal product quality measurement and maintenance or enhancement during storage, processing and marketing; commodity and co-product processing into value-added materials; and new specialty products from crops and animals.

Similarly, the marketability and value of commodities can be increased by ensuring that value-added products (such as fresh-cut or minimally processed produce) retain sensory quality, nutritional value (Human Nutrition National Program 107), and are free from food safety hazards (Food Safety National Program 108).  Net costs for production and processing of commodities can be decreased by conversion of their processing wastes and low-valued byproducts into value-added biofuels (Bioenergy & Energy Alternatives National Program 307).