Colfax-Dodge Corn Growers Summer Meeting
The Colfax-Dodge County Corn Growers Association invites all members and guests to attend the 2021 Summer Meeting. It is set for Tuesday July 20th at the Jason & Kammy Meyer shop, 1015 2nd St., Dodge, NE. Social hour starts at 5:30pm, the meal is at 6:30pm. They are excited to be back together in person to hear from John Cook, head coach of Nebraska Volleyball, and catch up with our friends and neighbors. All are welcome to attend!
Current members of the association are encouraged to bring a potential member. Questions? Contact Jordan Emanuel, President, at (402) 719-0184. Go Big Red!
Nebraska Teachers Connect with Agriculture at National Conference
With support from Lancaster County Farm Bureau, the Nebraska Farm Bureau Foundation hosted eight Nebraska teachers and volunteers at the National Agriculture in the Classroom Conference “Field of Dreams,” June 29 – July 1 in Des Moines, Iowa.
Educators from across the country attended to explore how to use agriculture to enhance classroom learning. The conference included keynotes, workshops, and tours of agricultural operations and businesses.
Becky Streff, a fifth-grade teacher at North Bend Central Elementary in Dodge County received an all-expense paid trip to the conference as the recipient of the 2021 Nebraska Agriculture in the Classroom Teacher of the Year award.
“I walked away from the conference with a multitude of ideas and lessons I can bring into the classroom and into the community,” said Streff. “I am currently working on a pollinator project at our school. Going to the conference allowed me to come up with even more ideas to build into the curriculum for reading, social studies, writing, and science.”
“The conference allowed me to feel energized and inspired with new quality ideas for student learning. I am ready for the adventures of a new year and so excited for next year’s conference,” said Streff.
Five Nebraska teachers received $1,000 conference scholarships from Lancaster County Farm Bureau. “This was a great way to support teachers who show an interest in bringing agriculture into the classroom. We are excited to hear teachers left the conference inspired to be even more involved with Nebraska Agriculture in the Classroom. Our board believes this was a smart investment in the future of Nebraska and agriculture,” said Larry Hudkins, Lancaster County Farm Bureau president.
“Teachers who recognize the benefits of incorporating agriculture are such important partners in the Foundation's mission,” said Megahn Schafer, executive director of the Nebraska Farm Bureau Foundation. “It was fun to see the ‘A-ha!’ moments throughout the conference as teachers realized how agriculture concepts can fit into their current lessons and provide a meaningful connection to our state,” she said.
The National Agriculture in the Classroom annual conference is held in a new location each year, giving attendees an opportunity to see and experience agriculture all over the country. Participants also get to experience the food, geography, and culture of different regions. The 2022 conference will take place in Saratoga Springs, NY.
Crop Insurance 101 webinar set for July 20
Farmers and ranchers are invited to participate in a webinar on July 20 from noon to 1 p.m., CT, which will provide an overview of available federal crop insurance options.
“Crop Insurance 101,” hosted by Center for Rural Affairs Policy Associate Kate Hansen, will feature Joe Toillion of Toillion Consulting Services Inc., an Iowa crop insurance agent with experience in conventional, organic, and livestock policies.
“This webinar will be helpful for a range of audiences—from those just exploring federal crop insurance, to those who have been buying it for years and want to brush up on the options available to them,” Hansen said.
Topics to be discussed include Multi-Peril Crop Insurance, insuring by written agreement, options for certified organic operations, livestock coverage, and Whole Farm Revenue Protection.
“I am excited to be joined by Joe, who has a wealth of knowledge on many of these topics,” Hansen said. “This webinar will be a great opportunity for farmers and ranchers to ask him questions.”
While details can vary by region and county, the principles of federal crop insurance are set by the U.S. Department of Agriculture’s Risk Management Agency, and are consistent nationwide. This event is not limited by region, and any interested participants are welcome to attend.
Visit cfra.org/events to register for this online event.
Women in Ag to present first Herd That! Conference for livestock producers
The Nebraska Women in Agriculture program, with the Nebraska Beef Quality Assurance program, will host the first Herd That! Conference on Sept. 15 in Lincoln. The conference will focus on five areas of risk management specific to livestock and feature a live cattle handling demonstration with Temple Grandin, an animal behaviorist and professor at Colorado State University, and Dean Fish, manager of Santa Fe Ranch in Nogales, Ariz.
“We are thrilled to be bringing a new event to our Women in Agriculture programing that is specific to women who raise livestock,” said Jessica Groskopf, director of Nebraska Women in Agriculture. “With Nebraska being one of the largest beef-producing states in the country, and women across our state taking active roles in their operations, there is no better time to launch this event.”
The single-day conference will feature a variety of speakers and topics for attendees to learn from. The workshops and keynotes will offer tools and information that they can take back to their operations to become more successful. During the morning sessions, participants will have the opportunity to learn from industry experts as well as Nebraska Extension professionals. Topics will include market outlooks, family communication, livestock insurance, veterinarian practices and more.
Grandin and Fish will finish off the conference with a live demonstration focusing on low-stress cattle handling and facility design.
Jesse Fulton, director of Nebraska Beef Quality Assurance, said that animal handling is an important issue for producers to understand and that the conference will offer a unique opportunity to learn from nationally recognized experts on the topic.
“Being able to have Dr. Grandin, the matriarch of low-stress cattle handling and facility design, teamed up with Dr. Fish, a nationally renowned cattle stockman, come to Nebraska to demonstrate the importance and ease of low stress cattle handling is a great chance for Nebraska producers to hear from the industry-leading experts on the topic,” he said. “Just because we are using cattle for the demonstration, doesn’t mean you can’t ask question about other species.”
More information about this event will be released this summer on the Women in Agriculture website, https://wia.unl.edu.
More Than 450 Biofuels Producers Set to Attend the International Fuel Ethanol Workshop & Expo Next Week
The 2021 International Fuel Ethanol Workshop & Expo (FEW), the ethanol industry's largest conference, will feature more than 150 speakers, next week, July 13th-15th, in Des Moines, Iowa at the Iowa Event Center. Now in its 37th year, the FEW will provide the global ethanol industry with cutting-edge content and unparalleled networking opportunities in a dynamic business-to-business environment. The FEW has and will continue to be the largest, longest running ethanol conference in the world—and the only event produced exclusively by Ethanol Producer Magazine.
In addition to the main program agenda, the conference will include two pre-conference events and two co-located events. The two pre-conference events are titled, “Ethanol 101” and the “Low Carbon Efficiency Summit.” “Ethanol 101” serves as a one-day in-depth survey of the history, science, production, and market basics of the ethanol industry. The agenda includes some of the industry’s most recognized professionals, and will provide a forum to meet and network with them. The “Low Carbon Efficiency Summit” is a day-long workshop that will include discussions about the technical aspects of driving down a plant’s carbon intensity, as well as the processes required to properly document those efforts and strategies for marketing these carbon-reduced fuels to the market.
“Each year our staff is amazed at the innovation within this industry,” said Tim Portz, program director at BBI International. “This year we had a very large number of abstracts submitted, which allowed us to produce four solid program tracks containing presentations from some of the industry’s top minds, as well as two comprehensive pre-conference agendas.”
This year’s FEW in Des Moines is expected to draw nearly 2,000 attendees, including ethanol producers, biodiesel and renewable diesel producers, biomass and biogas producers, industry suppliers, service providers and researchers from around the world.
“We had a sense, but we weren’t 100% sure how the show was going to play out this year, due to all of the unknown variables,” said John Nelson, vice president of operations, marketing and sales at BBI International. “However, we currently have 301 exhibitors, which makes the number of companies exhibiting larger than we had in 2019. We are extremely happy with the number of companies wanting to share new technologies or services with the more than 450 producers registered.”
During the event, speakers will discuss issues categorized into four tracks and two co-located events:
Track 1: Production and Operations Track 2: Leadership and Financial Management
Track 3: Coproducts and Product Diversification
Track 4: Infrastructure and Market Development
Biodiesel & Renewable Diesel Summit
National Biomass Conference Summit
Producers of ethanol, biodiesel, renewable diesel, biogas, RNG, biomass power and heat, pellets and advanced biofuels receive unlimited complimentary registrations to attend all sessions, including the pre-conference and co-located events.
Visit www.FuelEthanolWorkshop.com to view the agenda online.
Tips for Extending Pastures during Drought
Most of northwest Iowa is under moderate or severe drought that is beginning to take a toll on pasture carrying capacity, according to Beth Doran, beef specialist with Iowa State University Extension and Outreach. She reminds producers that changes in management can help extend pasture forage, and offers several suggestions.
Adjust pasture stocking rate. In Iowa, 2 to 2.5 acres are required for continuously grazing a cow-calf pair, depending upon forage species, field slope, soil type and moisture. Normally a cool-season grass pasture takes a minimum of 21-28 days to re-grow early in the grazing season and twice as long in later summer. But, 2021 is not a normal year. It will take more acres to carry a pair, paddocks cannot be grazed as long and forage recovery time will be extended.
Consider early weaning the calves. Early weaning is most successful when calves are a minimum of 90 days of age and have been eating creep feed three weeks. A huge benefit of early weaning is that it reduces the energy demand of the nursing cow by 25-35% so she doesn’t need as much grass to maintain body condition.
Provide mature reproducing beef cows an energy supplement containing monensin. Monensin is an ionophore that can improve feed efficiency in beef cows, reducing feed requirements 5-10% while maintaining body weight and with no negative impact on reproductive performance.
Evaluate supplemental feeds based on cost per unit of energy. The Iowa Beef Center has a “Feed Energy Index” spreadsheet that is free to download (http://www.iowabeefcenter.org/Software/FeedEnergyIndexNE.xls). Good quality hay is high-priced because on-farm hay stocks are 16% lower than a year ago. Watch for other buys – corn screenings, modified distillers grains or wet distillers grains. Bale ditch hay and apply to graze or hay CRP acres.
If the hay crop is light, graze these fields instead of baling. In the long run, this will save money. The cost of baling is significantly higher when the yield per acre is reduced.
Decide which pasture to sacrifice. It is better to ruin and have to reseed one pasture next spring than all of the pastures. A common sign of overgrazing is weeds, especially Musk and Canadian thistles.
Think about your criteria to cull cows. Which females are open, broken mouth, have bad feet, udders or dispositions, or are poor producers? Carefully pencil whether to sell them immediately or feed to add weight. Iowa State research on feeding cows for the white fat market reported feed conversions of 25 pounds of feed per pound of gain.
Additional drought resource materials can be downloaded from the Iowa Beef Center at https://www.iowabeefcenter.org/droughtresources.html or for more information, contact Doran at doranb@iastate.edu or 712-737-4230.
USDA Announces $500 Million for Expanded Meat & Poultry Processing Capacity as Part of Efforts to Increase Competition, Level the Playing Field for Family Farmers and Ranchers, and Build a Better Food System
Today, USDA is announcing it intends to make significant investments to expand processing capacity and increase competition in meat and poultry processing to make agricultural markets more accessible, fair, competitive, and resilient for American farmers and ranchers. This is one of several key steps that USDA will take to increase competition in agricultural markets, pursuant to President Biden’s Executive Order on promoting competition and as part of USDA efforts to build a more resilient supply chain and better food system. Together, USDA’s actions will help farmers, ranchers, farmworkers and consumers all get a fair shake.
Specifically, USDA announced its intent to invest $500 million in American Rescue Plan funds to expand meat and poultry processing capacity so that farmers, ranchers, and consumers have more choices in the marketplace. USDA also announced more than $150 million for existing small and very small processing facilities to help them weather COVID, compete in the marketplace and get the support they need to reach more customers. USDA is also holding meatpackers accountable by revitalizing the Packers and Stockyards Act, issuing new rules on “Product of USA” labels, and developing plans to expand farmers’ access to new markets.
“The COVID-19 pandemic led to massive disruption for growers, food workers, and consumers alike. It exposed a food system that was rigid, consolidated, and fragile. Meanwhile, those growing, processing and preparing our food are earning less each year in a system that rewards size over all else,” said Agriculture Secretary Tom Vilsack. “To shift the balance of power back to the people, USDA will invest in building more, better, and fairer markets for producers and consumers alike. The investments USDA will make in expanding meat and poultry capacity, along with restoration of the Packers and Stockyards Act, will begin to level the playing field for farmers and ranchers. This is a once in a generation opportunity to transform the food system so it is more resilient to shocks, delivers greater value to growers and workers, and offers consumers an affordable selection of healthy food produced and sourced locally and regionally by farmers and processors from diverse backgrounds. I am confident USDA’s investments in expanded capacity will spur millions more in leveraged funding from the private sector and state and local partners as our efforts gain traction across the country.”
The announcement USDA is making today is part of the Biden-Harris Administration’s historic commitment to fight monopolization and promote competition across the economy. They are also aligned with USDA’s vision of a food system that is fair, competitive, distributed, and resilient, one that supports health and ensures producers receive a fair share of the food dollar while advancing equity and combating the climate crisis. In the coming months, USDA will take additional steps to promote competition and make a series of additional investments under USDA’s Build Back Better Initiative focused on building a better food system.
Market Concentration in Agriculture
As key agricultural markets have become more concentrated and less competitive, farmers and ranchers are getting squeezed from both sides. Markets for farm inputs—like seeds and fertilizer—are now dominated by just a few companies. Meanwhile, farmers and ranchers have fewer and fewer options for selling their products. The result is that often family farmers and ranchers are getting less, consumers are paying more, and those in the middle are taking the difference.
Dominant companies can use their power to engage in abusive practices and make it harder for farmers, ranchers, and consumers to get a fair price. Farmers’ share of every dollar spent on food has declined consistently from 35 cents in the 1970s to around just 14 cents in recent years.
Concentration in food processing has contributed to bottlenecks in America’s food supply chain, too. Just a few meatpackers, with a few large processing facilities, process most of the livestock that farmers and ranchers raise into the meat that we buy. For example, just four large meat-packing companies control over 80 percent of the beef market alone. One of the lessons from the COVID-19 pandemic is that this system is too rigid and too fragile. When COVID slowed or shuttered meat processing, many farmers had no place to go. Farmers were forced to depopulate their animals, while grocery store shelves went bare and demand for food assistance spiked. These vulnerabilities are not new. And, given current concerns about climate and cybersecurity, these risks are likely to grow even more sharply in the future.
USDA is announcing the following initiatives to increase competition in agricultural markets, and build more resilience supply chains:
Investing More Than $500 million to Increase Competition and Capacity in the Meat and Poultry Processing Markets.
USDA will commit $500 million of USDA’s Build Back Better Initiative funds through the American Rescue Plan to support new competitive entrants in meat and poultry processing. USDA will provide grants, loans, and technical assistance to address concentration within the meat and poultry sectors and relieve supply chain bottlenecks by supporting new meat and poultry processing facilities. These facilities will create competitive opportunities for producers in local and regional food systems so that farmers and ranchers have access to better choices and fairer prices. USDA has issued a Request for Information (RFI) to solicit public input into its strategy to improve meat and poultry processing infrastructure and will hold targeted stakeholder meetings and other public engagement to better understand the needs, gaps, and barriers to fair and competitive meat processing markets.
Providing more than $150 million to Strengthen Existing Small and Very Small Processing Facilities and Help Them Weather COVID, Stay in the Marketplace, and Expand Capacity
USDA will invest more than $55 million in strengthening existing small and very small meat processing capacity, benefitting smaller producers and processing plants. USDA has made $55.2 million available for Meat and Poultry Inspection Readiness Grants to support expanded meat and poultry slaughter and processing capacity and efficiency while maintaining strong inspection and food safety standards.
USDA will dedicate $100 million to help small and very small processing plants weather the volatility and unexpected costs that COVID imposed. With American Rescue Plan funds, USDA will provide $100 million to reduce the financial burden of overtime inspection fees for small and very small poultry, meat and egg processing plants, which provide farmers with local alternatives and greater capacity to process livestock.
Leveling the Playing Field for Independent Family Farmers and Ranchers
USDA will revitalize the Packers and Stockyards Act to fight unfair practices and rebuild a competitive marketplace. The Packers and Stockyards Act was designed to ensure a fair and competitive marketplace and protect farmers against abuse at the hands of large businesses in the livestock and poultry industry. But the previous administration systematically weakened the law’s scope. To facilitate effective enforcement of the Act, USDA will be conducting three rulemakings. First, the rulemakings will clarify the conduct that USDA considers a violation of the Packers and Stockyards Act, including conduct that is unfair, deceptive, or unjustly discriminatory against farmers and growers. Second, they will address oppressive practices in chicken processing. Third, the rulemakings will reinforce the longstanding USDA position that it is not necessary to demonstrate harm or likely harm to competition in order to establish a violation of the Act.
USDA will develop a plan to increase farmers’ and ranchers’ access to new markets, and promote their ability to receive a fair return. As per the President’s Executive Order on promoting competition, USDA will develop a plan to increase opportunities for farmers to access markets, including by supporting value-added markets and local and regional food distribution systems. USDA will also analyze and recommend policies to address the impacts of concentration in seeds and in the retail sector on family farmers, and propose strategies to enhance transparency and accountability in key markets. Together, these initiatives will give farmers more choices on how they buy and sell so that they aren’t at the mercy of a handful of dominant processors and distributors.
USDA will issue new rules on labeling so that domestic farmers and ranchers don’t have to compete with foreign companies that mislead consumers. On July 1st, USDA announced intent to conduct a top-to-bottom review of the “Product of USA” meat labeling term..
Building a Better Food System and Strengthening the Food Supply Chain
Citing lessons learned from the COVID-19 pandemic and recent supply chain disruptions, earlier this month USDA announced plans to invest more than $4 billion to strengthen critical supply chains through USDA’s Build Back Better initiative to strengthen and transform the food system, using funding from the American Rescue Plan and the Consolidated Appropriations Act. The $500 million commitment to invest in meat and poultry processing today begins to detail how the $4 billion will be deployed. The new effort will strengthen the food system, create new market opportunities, tackle the climate crisis, help communities that have been left behind, and support good-paying jobs throughout the supply chain. A transformed food system will provide producers with a greater share of the food dollar and make agriculture a more compelling career. It will also improve nutrition and the health status of Americans, reducing the costs of healthcare and diet-related diseases.
Through USDA’s Build Back Better initiative, USDA will help to ensure the food system of the future is fair, competitive, distributed, and resilient; supports health with access to healthy, affordable food; ensures growers and workers receive a greater share of the food dollar; and advances equity as well as climate resilience and mitigation.
While USDA’s Build Back Better initiative addresses near- and long-term issues, recent events have exposed the immediate need for action. USDA’s actions to promote competition and the intention to invest in additional small- and medium-sized meat processing capacity will spur economic opportunity while strengthening resilience and certainty for producers and consumers alike.
This announcement also furthers the Biden-Harris Administration’s work on strengthening the resilience of critical supply chains as directed by Executive Order 14017 on America's Supply Chains. USDA’s efforts to strengthen the food system is a vital component of the Administration’s whole-of-government response to address near-term supply chain challenges to the economic recovery. Through the Supply Chain Disruptions Task Force, of which Secretary Vilsack is a member, the Administration is convening stakeholders to diagnose problems and surface solutions—large and small, public or private—that could help alleviate bottlenecks and supply constraints related to the economy’s reopening after the Administration’s historic vaccination and economic relief efforts.
Nebraska Farmers Union Praises Long Over Due Historic Competition Executive Order
Nebraska Farmers Union (NeFU) praised President Joe Biden’s historic Executive Order on Competition and Secretary of Agriculture Tom Vilsack’s announcements in Council Bluffs, Iowa relative to the agricultural portions of that Executive Order. “President Biden’s Competition Executive Order is the most substantial commitment to making our economy more competitive and efficient since President Teddy Roosevelt’s Trust Busting efforts 120 years ago,” Hansen said.
“All the issues Secretary Vilsack covered are long standing and critical issues Nebraska and National Farmers Union have identified and worked on for years, and have been crying out for attention and remedy. Finally, we have a President that is willing to begin the process to tackle these complicated issues, Hansen said.
The agricultural issues covered by the Executive Order on Competition included:
· Right to Repair and the Commodity Future Trading Commission’s role in its oversight.
· Food Labeling.
· Ag Market Reforms.
· Funding to help increase the capacity of small meat markets.
· Acceleration of the deployment of high speed internet broadband to rural America.
· Direct HHS to examine hospital mergers to make sure we are not losing rural hospitals.
NeFU President Hansen said “This Executive Order marks the beginning of a complicated, badly needed, and long overdue process to restore competition to our free enterprise system. It is imperative we re-think our entire anti-trust regulatory premises and enforcement strategies. We must re-instill the notion that our public interests are best served when competition is in place to make sure our agricultural markets are competitive, accessible, transparent, and fair. We must also update the USDA Packers and Stockyards definitions so that USDA can effectively enforce those provisions in court. Now is the time for everyone who has been complaining about monopolies and lack of competition to set aside their partisan interests, and come together to roll up their sleeves and get to work on restoring competition to our entire American economy. This Executive Order of Competition is an historical step forward in that process.”
Statement by Mark McHargue, President, Following USDA Sec. Tom Vilsack’s Visit to Council Bluffs, Iowa
“Nebraska Farm Bureau (NEFB) is always grateful for opportunities to directly engage with our nation’s leaders and decision makers, and today’s meeting with Secretary Vilsack is absolutely no exception. NEFB has always promised to work with leaders from either political party to advance policy that benefits the economic future of Nebraska’s farm and ranch families. Today, I participated in an event with Secretary Vilsack who highlighted an executive order that intends to, among a host of other things, increase competition within the agricultural marketplace, provide a monetary boost to expand meat processing capacity, and encourage policy changes to eliminate some limitations on what machinery repairs farmers and ranchers can make themselves.”
“As with any executive order or piece of legislation, NEFB will thoroughly examine and study the proposal announced by the administration and the subsequent regulations which will be released. While NEFB is happy to see the administration’s focus on the livestock industry and livestock markets, the Biden administration must ensure the proposed regulations do not limit the critical types of contracts and marketing arrangements available to our state’s livestock producers. While we agree that more price transparency and more competition in these markets is needed, USDA must ensure that any rule offered does not create unintended consequences that are ultimately paid for by our nation’s farm and ranch families.”
“We are very pleased to see the announced plan to offer $500 million to help expand regional meat packing capacity and an additional $100 million to cover USDA Food Safety and Inspection Service overtime expenses for smaller meat processing facilities. While not a silver bullet, expanding our nation’s meat processing capacity, especially within the beef sector, would go a long way toward alleviating the current processing bottleneck, which has led to lower prices for cattle producers and higher prices for consumers at grocery stores. We would encourage the Biden administration as well as Congress to continue to think creatively about solutions to the current capacity issues.”
“Lastly, NEFB is encouraged to see the administration work to address some of the concerns Farm Bureau members have had over their limited ability to repair their agricultural equipment. At the same time, as with any issue, NEFB members have pushed for a private non-government solution to this issue; like what has been done within the automotive industry. Technological advances in agricultural equipment have aided both producers and consumers, and equipment dealerships continue to be a welcomed partner in our rural communities. NEFB will remain engaged with both the Federal Trade Commission as well as our nation’s agricultural equipment manufacturers to work out a final commonsense solution on this important issue.”
ICA Affirms Need for Increased Processing Capacity
Today, U.S. Department of Agriculture (USDA) Secretary Tom Vilsack visited southwest Iowa to discuss President Joe Biden’s executive order focused on competition. Secretary Vilsack was joined by Congresswoman Cindy Axne (IA-03), producers, and industry stakeholders.
The Iowa Cattlemen’s Association appreciates the efforts of President Biden and Secretary Vilsack to address issues impacting Iowa cattlemen, including ‘Product of the USA’ labeling and the need for additional processing capacity.
“We can no longer rely on a handful of processing companies to do the job, to make the market competitive, to do right by farmers, and to ensure as well that we have a resilient food supply system,” Vilsack says.
Chad Tentinger from Cattlemen’s Heritage Beef Company drove home the message by sharing plans to expand processing capacity in Mills County with the development of a $325 million beef processing facility to open in December 2023.
Richard Godfrey, Iowa Cattlemen’s Association president, attended today’s press conference in Council Bluffs. “USDA’s review of ‘Product of the USA’ labeling is welcomed by the Iowa Cattlemen’s Association. Iowa’s cattlemen feel consumers deserve clarity. Instead of generically applying the ‘Product of the USA’ label, we believe USDA should source-verify for origin claims and labels,” Godfrey says.
Cattle Producers Applaud President’s Pro-Competition Order
R-CALF USA, the largest national cattle trade association that exclusively represents United States cattle producers, applauded the Executive Order (Order) signed today by President Joe Biden to aggressively restore market competition for the benefit of livestock producers, consumers, and small businesses.
“We’ve urged Administration after Administration for the past 20 years to begin proper enforcement of both antitrust laws and the 100-year-old Packers and Stockyards Act and this is the first Administration to actually take action,” said R-CALF USA CEO Bill Bullard.
The Order calls for full enforcement of antitrust laws to confront corporate power. Among its 72 initiatives are specific provisions that address the U.S. cattle market, which Bullard says is among the most concentrated markets in the U.S. economy.
According to Bullard, of particular interest to cattle producers are provisions directing the U.S. Department of Agriculture (USDA) to promulgate rules to fully deploy the P&S Act, in part by specifying packer conduct that would violate the act’s prohibitions again unfair, deceptive, and unjustly discriminatory practices. He says it also directs USDA to write rules to clarify that individual livestock producers do not, in every case, have to prove injury to competition in order to seek protections under the P&S Act.
Bullard says it is precisely because these two pro-competition rules have never been implemented that the P&S Act has been a toothless tiger – completely ineffective in preventing the concentrated meatpackers from purging competition from the U.S. cattle market.
“If these rules are brought to fruition, they will go a long way toward rebalancing the disparate market power between the highly concentrated beef packers and the widely disaggregated independent cattle feeders, backgrounders, stockers and cow/calf producers,” he said.
The Order also directs the USDA to address the current misuse of the “Product of the USA” label that is currently allowed on foreign beef products.
“We look forward to working with the Administration on this important issue to ensure that when Congress reinstates mandatory country of origin labeling (mCOOL) for all beef sold in America, both the federal rules and the federal statute complement each other.
“We’re both pleased and excited about the opportunity to work with this Administration to accomplish what every cattle producer needs to be successful – a robustly competitive marketplace free from abusive market power,” Bullard concluded.
New USDA Competition Driver Applauded by Cattle Group
The largest U.S. producer-only cattle trade association, R-CALF USA, applauded today’s announcement by Secretary of Agriculture Tom Vilsack to use his fiscal authorities to drive efforts to restore competition in livestock markets.
Today, Vilsack announced the availability of $500 million for making investments in meat processing and for developing a strategy to ensure the investments effectively jumpstart and sustain competition over the long haul.
“It is clear the Secretary intends to open the bottleneck created in the cattle industry because there are too few remaining beef packers to effectively and timely harvest the tens of millions of cattle produced each year by America’s cattle producers,” said R-CALF USA CEO Bill Bullard.
The vulnerability of America’s food supply chain became obvious to all when grocery stores ran out of beef following the 2020 onset of the COVID-19 pandemic. This suggested the current structure of the cattle and beef industry is inadequate to ensure national food security.
Bullard says competition has been purged from the cattle and beef supply chain, and this has caused the relationship between beef prices and cattle prices to disconnect. As a result, he says, consumers have been paying very high prices for beef – as if there was a shortage – and cattle producers have been receiving severely depressed prices for their cattle – as if there was a surplus.
“This exemplifies today’s broken cattle supply chain in which there is no shortage of cattle, just a shortage of marketing outlets for which to bring those cattle to market,” said Bullard.
We’re looking forward to working with the Secretary by responding to the forthcoming Request for Information soon to be issued by the U.S. Department of Agriculture that will give us the opportunity to recommend how best to use this money to ensure the permanent return of competitive market forces within the cattle industry,” Bullard concluded.
North American Meat Institute Issues Statement on President Biden’s Executive Order & USDA’s Proposed Changes to Packers & Stockyards Rules
The North American Meat Institute (Meat Institute), the largest and oldest trade association for packers and processors of beef, pork, lamb, veal and turkey, today released the following statement regarding President Biden’s Executive Order calling for government interventions in the meat and poultry markets:
“President Biden’s executive order calling for USDA to change the Packers and Stockyards rules will have unintended consequences for consumers and producers,” said Meat Institute President and CEO Julie Anna Potts. “Government intervention in the market will increase the cost of food for consumers at a time when many are still suffering from the economic consequences of the pandemic. These proposed changes will open the floodgates for litigation that will ultimately limit livestock producers’ ability to market their livestock as they choose. These proposals have been considered and rejected before and they are counter to the precedent set in eight federal appellate circuits.
“Meat and poultry markets are dynamic, a fact highlighted by the recent challenges attributable to labor shortages and the COVID pandemic and not market structure.
“The members of the Meat Institute – and their livestock suppliers – benefit from, and depend on, a fair, transparent and competitive market. The North American Meat Institute is prepared to discuss these issues and work with the Administration and the Congress on the issues facing the industry.”
Part of the Executive Order is a USDA review of the “Product of USA” label. The Meat Institute will participate in the rulemaking process.
For a more comprehensive picture of the dynamic and growing beef industry and an analysis of rhetoric surrounding oversight of the market, antitrust issues and the market forces at play , please see the Meat Institute's written testimony submitted to the U.S. Senate Committee on Agriculture, Nutrition and Forestry for a hearing entitled, “Examining Markets, Transparency, and Prices from Cattle Producer to Consumer.”
NCBA Thanks President Biden, Secretary Vilsack for Taking Vital Steps to Strengthen Cattle and Beef Supply Chain
Today, President Biden signed an executive order which initiates several federal rulemakings and commits $500 million to expanding processing capacity in the beef industry. The National Cattlemen's Beef Association (NCBA) thanked President Biden and U.S. Department of Agriculture (USDA) Secretary Vilsack for acting rapidly to address key concerns impacting cattle and beef producers.
NCBA welcomed the announcement of rulemakings to improve the accuracy of the "Product of the USA" beef label and implement a $500 million-strategy to expand processing capacity as vital steps toward a more resilient industry supply chain.
“NCBA’s top priority in Washington is pushing for policies that strengthen the business climate for our producers,” said Vice President of Government Affairs Ethan Lane. “We thank President Biden and Secretary Vilsack for the leadership and swift action they've shown on some of the top issues impacting our producers, including ‘Product of the USA’ labeling and grants to expand regional, independent processing capacity. Today’s executive order is a vital next step toward securing a steady beef supply chain, and increasing opportunities for profitability for our producers. We have actively engaged the administration on these issues thus far, and we will continue to advocate for the needs of American cattle producers as the rulemaking processes begin.”
Today's Executive Order includes several provisions specifically aimed at key concerns in the cattle and beef industry, including:
Directs USDA to consider issuing new rules defining the "Product of the USA" label on beef so consumers have accurate, transparent information at the grocery store.
Directs USDA to develop a plan to increase opportunities for producers to sell their product in fair, transparent, and competitive markets.
Directs USDA to consider issuing new rules under the Packers and Stockyards Act, making it easier for producers to bring claims.
Executive Order a “Monumental Step” Towards Fairer Economy, According to Farmers Union
With nearly every industry enduring crushing levels of corporate power, President Joe Biden today signed an executive order aimed at promoting competition and fairness throughout the economy.
The order includes 72 directives that will be carried out by 12 federal agencies, many of which target the agricultural sector. For instance, it advises the U.S. Department of Agriculture (USDA) to offer livestock farmers greater recourse against corporations when they are treated unfairly, restructure the inequitable system that determines poultry growers' wages, and prevent corporations from retaliating against farmers who speak out about discriminatory conduct. It would also give farmers the right to repair their equipment – which many companies currently restrict – limit “Product of USA” labels strictly to meat raised domestically, and support the development of local and regional food systems.
Farmers and rural residents would benefit from several other provisions that would make rail shipping rates more competitive, stem consolidation among rural hospitals, and encourage more choices in banking and credit in rural communities.
Since it was founded in 1902, National Farmers Union (NFU) has been dedicated to protecting farmers from corporate abuse, an endeavor that has only intensified in recent decades in response to a wave of mergers and acquisitions. In a statement, Rob Larew, the organization’s president, lauded the administration for taking this monumental step towards protecting farmers from anticompetitive practices.
“Over the last 50 years, we’ve seen dramatic consolidation in the agriculture industry, with just a handful of corporations seizing control over each link in the food supply chain. It’s no coincidence that this has coincided with a slew of problems for farmers: low prices, little bargaining power, few choices, misleading labels, and the inability to repair their own equipment, among other headaches. If that weren’t enough, extreme concentration has also made our food system extremely vulnerable to disruptions and bottlenecks, as has become abundantly clear recently in the wake of extreme weather events, the pandemic, and cyberattacks.
“After suffering corporate abuse for so many years, it is reassuring that farmers may finally get a level playing field. This executive order will offer them more autonomy in their relationships with corporations, protections from mistreatment, fairer and more accurate labeling, the right to repair their machinery, and more robust local markets – which, taken together, will go a long way towards building the resilient, equitable food system that farmers and consumers deserve. We urge the administration to swiftly implement these changes and follow up with strong antitrust enforcement.”
Executive Order Creates Opportunities for Farmers and Ranchers
American Farm Bureau Federation President Zippy Duvall commented today on President Joe Biden’s executive order addressing livestock markets and “right to repair.”
“AFBF notes President Biden’s effort to address several pressing issues facing America’s farmers and ranchers comes at a time when many in the farm supply chain are frustrated. Growing concern about livestock market fairness is accelerated by the continued rise in grocery store meat prices while ranchers struggle to break even on the cattle they raise and poultry farmers being locked into agreements with very little recourse if they’re underpaid. It’s time to get to the bottom of what’s driving these imbalances. More opportunities for farmers and ranchers to sell their products will ensure they are paid fairly while providing more options for America’s families.
“Farmers increasingly rely on the latest technology as they grow healthy, affordable food. Business purchases—from robotic milkers to high-tech combines—require a substantial investment, and when those tools break down farmers need to get back up and running quickly. Limiting who can work on a piece of machinery drives up costs and increases down-time. Ensuring farmers have the ability to perform cost-effective repairs on their own equipment will keep America’s farms running and financially sustainable.”
“We will closely examine the details of this executive order as we continue to work with the administration to ensure changes are consistent with our grassroots policy, and farmers and ranchers are provided greater flexibility to remain competitive in our growing economy.”
Managed Grazing Webinar Set for July 20
The Skills and Principles of Managed Grazing on Improved Pastures will be the topic of discussion for the next American Sheep Industry Association-sponsored webinar, which will be conducted on July 20 at 8 p.m. eastern time. Woody Lane, Ph.D., of Lane Livestock Services will be the featured presenter.
The webinar will focus on managed grazing – the knowledge of how forages grow combined with the skills of moving sheep, estimating intake, balancing the needs of forages and sheep, and managing pastures by grazing sheep in sustainable and efficient ways.
“We’ll describe how to decide when to open the gate, when to move sheep off the paddock, and practical tips about stocking density, electric fences, weed control, gate latches, the grazing wedge and a new way of describing grazing systems,” according to the webinar description. “Basically, we’ll describe how to manage improved pastures to capture sunlight efficiently and profitably.”
Click Here to register for the free webinar https://register.gotowebinar.com/register/4655008292211128077.
Monday, July 12, 2021
Weekend Ag News Round-up - July 11
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