STATEMENT Regarding USDA Proposal to Ensure Market Competition

"A USDA announcement today could increase market transparency and lead to greater profitability by making more market information available to cattle producers. Combined with mandatory price reporting, additional market information will help producers better evaluate marketing alternatives and make decisions that work best for them.

"The USDA announcement that it will be releasing a proposed rule to help ensure fair competition could be a positive step as cattle producers work to compete in a global beef economy. When the proposed rule is released, NCBA will analyze it and provide comments to USDA. NCBA has long supported a free and open marketplace to encourage innovation and competition and improve price discovery.

"Last year NCBA, working together with state organizations and other livestock groups, lobbied for and won passage of mandatory price reporting as one measure to increase information availability. NCBA has held a number of meetings with USDA to encourage the agency to implement the rule as soon as possible, and it is expected to be in place late this summer. NCBA also continues to urge USDA to enforce the existing Packers and Stockyards Act, which regulates the cattle market.

"Even as calves and feeder cattle are currently being sold at record price levels, there always are such things as the threat of drought or other weather-related disasters or changing market prices for grain that could impact the market at any time. NCBA opposes any restriction of private business practices and new marketing methods that are helping producers to remain competitive."

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Producer-directed and consumer-focused, the National Cattlemen's Beef Association is the  trade association of America’s cattle farmers and ranchers, and the marketing organization for the largest segment of the nation’s food and fiber industry.