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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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Mexico and Canada File WTO Complaints Regarding U.S. Country-of-Origin Labeling Regulations
In formal complaints filed last week with the World Trade Organization (WTO), Mexico and Canada claim that the U.S. country-of-origin labeling (COOL) law appears to be inconsistent with U.S. obligations under the WTO.
The National Cattlemen's Beef Association (NCBA) is extremely concerned about the impact of COOL on our relationships with our top two trading partners. Beef trade with Mexico was worth nearly $1.4 billion in 2008, and trade with Canada came in at $716 million. Together, the markets account for 58% of our beef export trade.
In addition to potential trade impacts, we're also concerned about the rule's economic consequences. We've seen indications of drops in feeder cattle prices at our borders to the North and South, which is impacting all segments of our industry.
It's important to understand that COOL is purely a marketing tool that provides consumers with information on the origin of beef products. It is not a food safety tool. All beef consumed in the U.S. is subject to rigorous health and safety inspections-regardless of its origin.
COOL became mandatory on September 30, 2008. The final rule went into effect on March 16, 2009. Over the next few months, NCBA will be closely monitoring the implementation of COOL and its effects on domestic beef demand and international trade. |
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May is International Trade Month!
As part of International Trade Month (and International Trade Week, May 18-22), the National Cattlemen's Beef Association (NCBA) has been ramping up efforts to educate Congress about the importance of opening new markets and expanding access to existing markets for U.S. beef trade.
Trade supports millions of U.S. jobs and is vital to the economic livelihood of U.S. cattle producers. In fact, exporting cuts like liver and short ribs--which are underutilized in the U.S.--can add between $20-25 to the price producers receive per head of cattle.
One of NCBA's top priorities is expanding market access for U.S. beef in key export markets like Japan. Japan's restriction on beef products from cattle over 21 months is limiting us to about 25% of our potential market there-that translates to about $1 billion in lost exports every year!
Another top priority for NCBA is working to expedite the passage of pending Free Trade Agreements (FTAs) with Korea, Colombia, and Panama which could save U.S. exporters millions of dollars each year in unnecessary tariffs. To put this into perspective, for every day that Congress does not approve the Colombia FTA, American exporters pay $2 million in unnecessary tariffs.
NCBA is also working to ensure science-based standards for international trade. This applies not just to other countries, but to the U.S. as well. For example, China represents one of the largest potential growth markets for U.S. beef-worth in excess of $100 billion. Yet the 2009 Appropriations bill includes a provision that effectively bans, without scientific justification, certain Chinese chicken imports.As a result, China has requested a WTO consultation, and has cut off all talks on ongoing U.S. trade negotiations- including those on beef.
NCBA will continue to engage members of Congress and the administration on these and other issues, as we towards the goal of creating open markets and level playing fields for U.S. beef trade. |
NCBA Supports Free-Market Principles for Livestock Industry
Senators Mike Enzi, R-Wyo., Byron Dorgan, D-N.D., Chuck Grassley, R-Iowa, and Tim Johnson, D-S.D introduced a bill yesterday that would severely hinder the ability of the U.S. cattle industry to compete in a free marketplace. The so-called "Livestock Marketing Fairness Act" (S. 1086) would impose dangerous government intrusion on the livestock industry--potentially destroying the value-added marketing alliances that the U.S. cattle industry, like so many other American industries, has worked hard to establish.
It is important that cattle producers are in tune with their consumers' preferences when it comes to the retail meat case. This focus on consumer preferences has led to many innovative marketing programs that have improved the quality of beef, given the consumer what they want, and made many of America's ranchers more profitable and efficient. These marketing arrangements offer producers the freedom and flexibility to market their cattle in ways that provide the best return on their investment.
The Packers and Stockyards Act (P&SA) has been successful in combating anti-trust, collusion, price fixing, and other illegal activities that damage the viability of the market and interfere with market signals. At the same time, it preserves producers' rights to market their cattle in a way that ensures the highest quality product to meet the current consumer demand. The Livestock Marketing Fairness Act would take away that right by amending the P&SA so that it limits producers' opportunities to participate in alternative marketing arrangements--such as forward contracting--and negotiate private business transactions. Producers would thus lose the ability to compete in the free-market system which is fundamental to U.S. entrepreneurship. |
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Cattle, Corn Producers Join Forces on Common Legislative Priorities
The National Cattlemen's Beef Association and the National Corn Growers Association held a joint meeting on Tuesday with members of the Nebraska Cattlemen and the Nebraska Corn Board. The meeting took place during the Nebraska Cattlemen and Nebraska Corn Board's annual issues trip to Washington, DC. This event is an important way for the agriculture community to show a united front on issues of mutual concern. During the trip, the Nebraska groups met jointly with members of Congress and the Administration to discuss a variety of legislative and regulatory issues, including the Clean Water Restoration Act and the death tax.
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Don't miss NCBA's Cattlemen to Cattlemen!
Don't miss NCBA's Cattlemen to Cattlemen, May 26- 30, as we sit down with industry experts to discuss the current state, and future, of the beef cattle market.
NCBA's Cattlemen to Cattlemen is now an hour long! The show debuts Tuesdays at 8:30 p.m., and airs again Wednesdays at 10:30 a.m. and Saturdays at 9 a.m. (all times are Eastern). Don't forget, you can watch NCBA's Cattlemen to Cattlemen online anytime by visiting www.CattlemenToCattlemen.org
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NATIONAL CATTLEMEN'S BEEF ASSOCIATION
1301 Pennsylvania Avenue NW, Suite 300
Washington, D.C. 20004 | |
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