Cattlemen's Capitol Concerns
July 12, 2007

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’d like to include NCBA’s logo, contact us at 202-347-0228.

Cattle Industry Summer Conference:  In just a few days, hundreds of NCBA cattle producer-members will be in Denver for the 2007 Cattle Industry Summer Conference, July 16-20. NCBA’s popular Issue Forums will take place on Wednesday, July 18.  This year, one of the Issue Forums will be devoted entirely to environmental policy issues affecting cattle operations.  NCBA policy committee meetings are scheduled throughout the day on Thursday, July 19.  These meetings provide an update on the progress of member-driven NCBA policies that were adopted at the Cattle Industry Annual Convention in February, and an opportunity to propose new policies. The week’s events draw to a close on Friday, July 20 with the NCBA Board of Directors meeting.

Entertainment options for those attending summer conference include a Western Swing event sponsored by Dow AgroSciences and USDA’s Natural Resources Conservation Service (NRCS) on July 18, during which the 2007 ESAP regional winners will be announced and honored. A billiards tournament will be held on July 19 in support of the NCBA-PAC. 

The summer conference is co-sponsored by NCBA, the Cattlemen’s Beef Board, American National CattleWomen, Inc. (ANCW) and Cattle-Fax.  Advance registration for the Cattle Industry Summer Conference is now closed, but attendees can still register on-site in Denver at the Adam's Mark Hotel.  More information, including a schedule of events, is posted on NCBA’s web site at http://www.beefusa.org/convscheduleofevents43.aspx.

Regional ESAP Winners to be Named Next Week!  Next Wednesday, July 18, in conjunction with the Cattle Industry Summer Conference, NCBA will be announcing the Regional Winners of the 2007 Environmental Stewardship Award Program (ESAP). Sponsored by NCBA, Dow AgroSciences and USDA’s Natural Resources Conservation Service (NRCS), ESAP annually recognizes regional winners who exhibit an outstanding commitment to protecting the environment and improving fish and wildlife habitats, while operating sustainable cattle operations.  These regional winners compete for the national ESAP award which will be announced in February 2008. Look for our news releases and coverage of this announcement in next week’s CCC, or visit http://www.beefusa.org/esap/ for more information!

Schwab on Korea:  “I want it done”:  U.S. Trade Ambassador Susan Schwab discussed the issue of beef trade with South Korea this week with AgriTalk host Mike Adams.  Schwab reiterated that the proposed free trade agreement (FTA) with South Korea will not go forward unless Korea opens its market to a full range of U.S. beef exports.

“We made it very clear all along – I personally have made it clear, the President of the United States has made it clear to the President of Korea - that unless and until they reopen their market in full to U.S. beef exports, we aren’t even going to submit this FTA to the United States Congress because we know that Congress just isn’t going to act on it,” said Schwab.  “We are expecting to see action on the part of the Koreans by the end of September.  I want to see beef moving – I want more than commitments – I want it done.”

(To hear this interview with Ambassador Schwab, visit www.beefusa.org and click on “news” and then “audio news,” or use this link:  http://www.beefusa.org/newsaudionews.aspx.) 

As part of the process toward normalizing beef trade with the United States, South Korean officials wrapped up their inspection tour of U.S. facilities on July 8th. According to news reports, a South Korean committee made up of government and civilian experts including local livestock growers, environmentalists and consumer groups, will kick off a new series of talks next month.  The group cannot make policy decisions regarding further opening of the Korean beef market, but it is authorized to give its views, which can be incorporated into the final trading guidelines.

U.S. Beef Sales on the Rise in Korea: A major South Korean retail outlet is putting U.S. beef on its shelves for the first time in more than three years, selling it for half the price of Korean beef.  “This is a fantastic development for Korean consumers,” says Gregg Doud, NCBA’s Chief Economist.  “Due to unusually high production costs, Korea has the highest beef prices in the world – over $25 per pound – so we want to give Korean shoppers greater access to high-quality and affordable U.S. beef.”

Lotte Mart, the third-largest supermarket chain in South Korea, began selling 40 metric tons of U.S. beef in its 53 stores around the country on July 11, and they say they plan to import an additional 30 tons of chilled beef on or about July 20.  This marks the first time that a South Korean supermarket chain has sold such a large volume of U.S. beef since 2003.

Congressional Schedule/Farm Bill Discussions:  Congress returned to Washington this week following last week’s Fourth of July recess.  The House Ag Committee has scheduled mark-ups of the 2007 Farm Bill for next week, July 17-19. 

For NCBA, Farm Bill priorities include:
- adequate funding for Farm Bill Conservation Programs, especially “working lands” programs,

- a market-based approach to competition issues, and

- a legislative remedy for certain provisions within the mandatory country-of-origin labeling law.

Country-of-Origin Labeling:  With Congress returning from recess and poised to do Farm Bill mark-ups next week, NCBA members are telling Congress that the mandatory country-of-origin labeling law must be fixed within the confines of the 2007 Farm Bill.

“The Farm Bill is our last opportunity to fix this law before it is forced on producers next year,” says NCBA’s Executive Director of Legislative Affairs Colin Woodall.  “But there’s still time for Congress to fix some of the more damaging aspects of the law – and they’ll only do so if they hear from enough of their constituents in the countryside.”

NCBA is directing cattle-producer members to the website, www.beefusa.org, for more information on the soon-to-be-implemented MANDATORY country-of-origin labeling law.  From this site, individuals can also contact their members of Congress and urge them to fix the problems with the program before it is implemented next year.

COOL’s Paperwork Burden Makes the Law Unworkable:  Livestock producers’ concerns continue to grow about the current mandatory law slated for implementation next September.  Of these concerns, the paperwork requirements – and the costs that go along with them – are emerging as one of the most problematic aspects of the new law.  Reasons cattle producers believe the current mandatory country-of-origin labeling law needs to be fixed include: 

- Paperwork and documentation requirements in the current law are unclear. The current law could allow packers and retailers to demand impossibly complicated documentation, and it is believed that self-certification will not satisfy the requirements. 

- The costs to producers could put many small operators out of business. USDA’s cost benefit analysis says the mandatory program passed as part of the 2002 Farm Bill could cost up to $3.9 billion in the first year alone. 

- The current law exempts too many products.  Under the current country-of-origin law, nearly 75 percent of meat products will go unlabeled because processed products, products used in food service (including restaurants) and poultry will remain unlabeled.

NCBA is urging Congress to amend the current law so it better addresses both the needs of food producers and consumers.  Cattle producers should visit www.beefusa.org to learn how you can send a message to Congress and ask them to fix country-of-origin labeling NOW.

Ohio Cattlemen in Washington This Week:  NCBA cattle producer-members from the Ohio Cattlemen’s Association are in town this week walking the halls of Congress. Elizabeth Harsh, Glen Feichtner and Mike Carper are talking to Congress about the Farm Bill, specifically about issues related to conservation programs, competition and country-of-origin labeling.

NCBA is coordinating “Cattlemen and Congress” visit days in June and July. This is a busy time here in Washington, and cattle producers are encouraged to visit during this time and convey our cattlemen messages first-hand to policymakers.  

NCBA Member to Meet with EPA: Iowa cattleman Kevin Carstensen is in Washington D.C. this week to meet with Environmental Protection Agency (EPA) Administrator Stephen L. Johnson. NCBA was invited to participate in a national agriculture dialogue on Thursday, July 12 to share views on how the EPA can work more efficiently with farmers and ranchers to address environmental challenges facing our nation. Kevin is the current president of the Iowa Cattlemen's Association as well as Chairman of NCBA’s Property Rights and Environmental Management committee.

Panama Ratifies FTA with U.S.: According to media reports, Panama's legislature yesterday ratified a free trade agreement with the United States by a vote of 58-3, with one abstention. Ratification in Panama comes two weeks after the FTA was signed by both governments in Washington. The action came amid protests by hundreds of opponents of the free trade agreement, including farmers and unions, who say Panamanian producers cannot compete with their U.S. counterparts. The pact still must be ratified by the U.S. Congress.

SIX New Co-Sponsors Sign on to Death Tax Repeal:  To help preserve America’s family farms and ranches, NCBA continues its long-standing push for full and permanent repeal of the Death Tax.  H.R. 2380 was introduced on May 17 and this bill currently has 109 cosponsors.  SIX NEW co-sponsors, Reps. Ruben Hinojosa (D-Texas), John Lewis (D-Ga.), John Boozman (R-Ark.), Robert Aderholt (R-Ala.), Vernon Ehlers (R-Mich.) and Mike Conaway (R-Texas) signed on this week.  NCBA’s rancher-members thank these individuals for supporting America’s family businesses!

Currently, a 10-year phase-out of the Death Tax ending in full repeal is scheduled to take effect by 2010.  But the tax is then scheduled to be re-instated in 2011, back to 2001 levels. H.R. 2380 makes the repeal permanent.  With rates ranging from 37 to 55 percent, the Death Tax is a leading cause of the break-up of U.S. family farms.  Too often ranches and farms must be sold to pay the tax bill, and the land is often purchased by developers.  

Similar legislation, H.R. 1586, was introduced by Rep. Mac Thornberry (R-Texas) on March 20th. That bill currently has 76 co-sponsors. NCBA continues to urge all cattle producers to contact their members of Congress about this important issue. Download our full-color fact sheet on this issue at www.beefusa.org.

Don't Miss NCBA’s Cattlemen to Cattlemen: Tune into NCBA’s Cattlemen to Cattlemen on RFD-TV at 10:00 a.m. (Eastern Time) this Saturday for some of the best reports from the Cattle Learning Center, including a report on horn flies, nuisance flies, and how best to handle them on your operation

On next week’s Cattlemen to Cattlemen, beginning Tuesday, July 17, we’re taking a look at the benefits of using growth enhancement technologies on your operation.  Also, we’ll examine the importance of low stress cattle handling. 

NCBA’s Cattlemen to Cattlemen on RFD-TV provides weekly news and features for cattle producers across the country. The show airs Tuesdays at 8:30 p.m. and is rebroadcast Wednesdays at 4:30 a.m. and 12:30 p.m., and Saturdays at 10 a.m. All times are Eastern. Make sure YOU tune into NCBA’s Cattlemen to Cattlemen on channel RFD-TV. For more information or to check out past episodes, visit www.cattlementocattlemen.org.

Media Contact: Tanya A. Camarra or Karen Batra at 202-347-0228, tacamarra@beef.org or kbatra@beef.org.

This publication is funded by cattle producers and other industry supporters through their voluntary membership contributions to NCBA. To join the tens of thousands of cattle producers from across the U.S. in working to preserve our legacy, contact NCBA Member Services at 1-866-BEEF-USA or Membership@beef.org.