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Cattlemen's Capitol Concerns Archive
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The Cattlemen's Capitol Concerns (CCC) is a weekly report from Washington, D.C., giving an up-to-date summary of top policy initiatives concerning the cattle industry; direct from the National Cattlemen's Beef Association (NCBA). Please feel free to reprint in full or in part. If you would like to include NCBA's logo, contact us at 303-694-0305. | |
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NCBA Opposes Ethanol Subsidies in Letter to USDA Secretary
The National Cattlemen's Beef Association (NCBA) sent a letter to United States Department of Agriculture (USDA) Secretary Ed Schafer on October 22, 2008, expressing disappointment at his comments outlining Rural Development assistance for ethanol plants hurt by high corn prices. In remarks made in Des Moines, IA on Friday, October 17, Shafer stated that, 'There's going to have to be some credit applied to companies to buy some lower-priced corn to blend with their higher-priced corn.'
These higher corn prices are due in large part to extensive federal subsidies for the ethanol industry. The plants in question hedged on the futures markets and are now seeing the consequences of risky business decisions. Schafer acknowledged the questionable business practices, saying, 'There is some pressure out there by companies that have gotten away from their focus on producing ethanol and started speculating on the commodity markets, and that's hurt them.'
Cattle producers, meanwhile, have been facing the hard realities of rising corn prices for quite some time, and have suffered a record $1.5 billion in cattle feeding losses in just the first six months of 2008. In the letter sent to Secretary Schafer (available online here), NCBA explained that over the past two years, 'producers have seen their operating costs dramatically increase due to government support of the corn-based ethanol industry... These costs are now contributing to lower calf and feeder cattle prices.'
Much has been made of the importance of ensuring energy security for the United States, which is a worthy objective and one the membership of NCBA fully supports. However, continuing to subsidize the ethanol industry at the expense of other agricultural sectors risks our food production capacity. While energy independence is an important goal, it must be balanced with one of our strongest suits: our ability to feed Americans and the world.
Corn-based ethanol is a mature technology that should be able to compete on the open marketplace without government intervention to prop it up. While we appreciate that the funds in question are not new money or exclusively available to biofuel plants, the ethanol industry's need for increased funding after years of subsidies highlights an underlying fault in USDA's approach to food and fuel policy.
America's cattle producers are not asking for a bailout, but we do ask for the chance to compete for corn and commodities on a level playing field, without further government intervention. |
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NCBA Hosts Discussion of COOL on RFD TV's Monday Night Live
Four authorities on Country of Origin Labeling and Premises Registration will answer producer questions during a Monday Night Live program on RFD-TV Oct. 27. The one-hour program will allow call-in questions from producers via a toll-free line starting at 8 p.m. EST (check your local listings).
The panel will consist of Bruce Knight, under secretary for marketing and regulatory programs for the U.S. Department of Agriculture; Colin Woodall, executive director of legislative affairs for the NCBA; Steve Owens, partner in Joplin Regional Stockyards in Joplin, Mo; and Steve Foglesong, an Illinois beef producer and NCBA vice president.
"There's still some confusion about both the Country of Origin Labeling and Premises Registration Programs out in the country," says Woodall. "This is a chance for producers to get straight answers to their questions from the people both involved in the implementation of these programs and affected by them."
Premises Registration is recommended by the USDA as the first step in improving this country's animal disease response. It's a voluntary program that works to identify all of the locations in the United States where livestock and poultry are raised and housed.
Country of Origin Labeling (COOL) is a USDA marketing program created by the 2002 Farm Bill and implemented on Sept. 30 of this year. It's directed at processors and retail marketers of meat, but producers have been brought into the picture due to requirements for information about the origin of animals being processed.
To learn more about the Monday Night Live program on RFD-TV, go to www.CattlemenToCattlemen.org. |
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Statement on Antitrust Lawsuit Against JBS
The members that comprise the National Cattlemen's Beef Association (NCBA) appreciate the Department of Justice's (DOJ) attention to the balance of competition within the beef industry.
DOJ filed a civil antitrust lawsuit October 19, 2008 in the U.S. District Court in Chicago to prevent JBS S.A. from acquiring National Beef Packing Company, LLC. JBS has already acquired Swift Foods Company and is currently in the process of acquiring the Smithfield Beef Group, Inc. and Five Rivers Ranch Cattle Feeding, LLC. These acquisitions have not been challenged by DOJ, and have significantly increased the size and capacity of JBS.
As JBS has increased its ownership in the packing and cattle feeding industries, NCBA has supported DOJ's efforts to monitor, evaluate, and-if necessary-act upon these acquisitions. We encourage the process of due diligence and will be closely monitoring this case and the impacts on the beef industry. In particular, we will be making certain that the prices cattle producers receive for their animals do not decrease unfairly.
NCBA supports free and fair competition in open markets, and believes this is the best way for cattle producers to remain profitable while providing consumers with high-quality beef.
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Colorado Submits Proposal for Protection of Roadless Areas
The State of Colorado submitted a proposal to USDA to provide for protection of roadless areas in the national forests in that state. The proposal included language to ensure grazing permittees would continue to have the access needed to run their operations.
Environmental groups have attacked the proposal for the continued access made available to ranchers. The Public Lands Council is working with the State of Colorado and the Colorado Cattlemen to ensure that public land ranchers in that state retain the access they need to maintain economically viable operations. |
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U.S Meat Export Federation Hold Conference Demonstrating Low Risk of BSE
In a press release distributed last week, the U.S. Meat Export Federation (USMEF) explained the low risk of BSE. Some highlights of the release follow:
"An overreliance on meaningless testing and a lack of focus on documenting the effectiveness of steps that are making significant inroads against Bovine Spongiform Encephalopathy (BSE) are hindering a hungry world's access to protein, driving up food costs and harming local economies as well as the U.S. beef industry. These were key findings presented by a leading global expert on BSE at a conference for Japan's opinion leaders hosted by the U.S. Meat Export Federation (USMEF) in Tokyo Oct. 15.
"Dr. Ulrich Kihm, former chief veterinary officer of Switzerland with extensive experience in the research and analysis of infectious animal diseases, including BSE, was a featured speaker at the seminar...
"Dr. Kihm informed the audience that Japan's insistence on testing 100 percent of cattle for BSE - regardless of age - has been ineffective. He stated that the youngest documented case of BSE to his knowledge was 34 months of age...Dr. Ariji told the audience that there is a risk of BSE for consumers in Japan, but it is a risk that has not been accurately reported... 'When it comes to beef consumption, there is no communication of benefits - only talk about risk. The risk of limiting access to beef is limiting a source of food. The reward is providing consumers with food at lower prices and it could save resources and energy (in production).'
"Dr. Ariji proceeded to outline the risks of death associated with a variety of circumstances based on available statistics and human exposure. His estimates show that there is virtually no chance of anyone getting vCJD in Japan, but that the risk from other activities is much higher. For example, the chances of dying from the following in Japan compared to contracting vCJD are:
- Wasp sting: 1,200 times more likely
- Choking on a rice cake: 44,000 times more likely
- Mountain climbing: 300,000 times more likely
- Drowning in a bath: 380,000 times more likely
- Smoking (leading to cancer or heart attack): 4.4 million times more likely
"'The risk of dying from BSE is one of the smallest, least measurable food-related risks,' said Dr. Ariji."
NCBA continues to press for science-based standards for market access with our trading partners, including Japan. |
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NCBA Participates in Second OIE Global Conference on Animal Welfare
NCBA's Chief Veterinarian, Dr. Elizabeth Parker, attended the Second World Animal Health Organization (OIE) Global Conference on Animal Welfare in Cairo, Egypt from October 20 through 22. The conference was intended to help veterinary services, especially those in developing countries, to put OIE standards in place. It should also strengthen the teaching and curriculum for animal welfare in veterinary facilities and discuss and define research priorities to support standards and implementation. The conference was intended to give animal welfare issues greater prominence, offering practical info and technical advice on setting national standards, including legislation to support the implementation of standards. NCBA does not believe there is a need for additional animal welfare legislation in the United States, because of our proactive industry approach using the most advanced scientific standards.
The first OIE Global Conference on Animal Welfare was held in Paris in 2004. The 400 participants in that meeting helped implement international animal welfare standards by 168 nations. |
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EPA Advisory Board Holds Hearings on Nitrogen Emissions
The Environmental Protection Agency (EPA) Scientific Advisory Board's Integrated Nitrogen Committee held a hearing on October 20th and 21st on the effects of reactive nitrogen in the environment. The study will make recommendations on nitrogen management, which could potentially impact the regulation of emissions from Concentrated Animal Feeding Operations (CAFOs). |
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Don't Miss the Award-Winning NCBA's Cattlemen to Cattlemen
Don't miss NCBA's Cattlemen to Cattlemen! On the show airing from October 21st through October 26th we head to South Dakota to learn more about how proper weed management this fall will lead to greener pastures in the spring. Plus, we'll bring you part one of our series on the program Walk a Mile in My Boots. And we'll have a great beef recipe perfect for football season!
Next, from October 28th through November 2nd we take a look at how to best identify and treat trichomaniasis on your operation. Plus, we'll bring you part two of our Walk a Mile in My Boots series. And we'll cook an easy to make beef meal perfect for a cool fall day.
NCBA'S Cattlemen to Cattlemen debuts Tuesday at 8:30 p.m. The show also airs Wednesday at 10:30 a.m. and on Sunday at 12:00 a.m. (All Times are Eastern) Don't forget, you can watch NCBA's Cattlemen to Cattlemen online anytime by visiting CattlemenToCattlemen.org.
NCBA's Cattlemen to Cattlemen on RFD-TV provides weekly news and features for cattle producers across the country. It airs every Tuesday at 8:30 p.m. Eastern time, with repeat episodes on Wednesdays at 10:30 a.m. and Sundays at midnight (all times Eastern).
The program's sponsors include Purina Mills, Fort Dodge Animal Health, Dow AgroSciences, Bayer Animal Health and McDonald's.
For more information or to check out past episodes, visit www.cattlementocattlemen.org. | |
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