A new report to Congress makes clear that “stockpiling alone is not the answer” to ensuring the future availability of materials required for defence needs. The report on Reconfiguration of the National Defense Stockpile released by the Defense Logistics Agency-Defense National Stockpile Center (DLA-SNSC) in May argues that a mix of strategic sourcing agreements and partnerships with foreign governments will also be required. First of all, however, there is a need to properly quantify risks to material supplies in various scenarios and arrange regular funding for a new Strategic Materials Security Program. It looks highly unlikely that the remaining 3,863 tonnes of tin held by the DLA-DNSC will be released in the foreseeable future, until the new programme is finalised and approved by Congress.
The stockpile, established originally in 1939 and built up enormously in the Cold War, once held over 300,000 tonnes of tin and a wide range of other materials, in line with the initial policy of sustaining the nation through a prolonged conventional world war. However since 1993 Congress has authorised the disposal of 99% of the material, with revenues used to finance military health and retirement benefits. Sales in the last financial year (to end-September 2008) amounted to US$433 million, including $76 million earned from the disposal of 4,319 tonnes of tin. However the last substantial sale of tin was concluded in December 2007, and disposals of tin and twelve other materials were suspended or restricted in August last year.
The latest report summarises various studies which have been carried out in recent years, including one by the Institute for Defense Analyses which estimates annual usage of a range of materials by defence contractors. Annual tin requirements are put at 2,867.5 short tons (2,600 tonnes). All 13 materials affected by the August 2008 decision are likely to be held while further studies are carried out, and in addition another 39 commodities are recommended for further examination. Meanwhile the Defense Department will start working on new legislative proposals to secure regular funding for the proposed new approach.
