In this file:
· NCBA passes policy to increase cash trade levels
· Improved Cash Cattle Trade Vigorously Debated at Summer Cattle Industry Business Meeting
· Marathon Live Cattle Committee Meeting At NCBA Summer Conference Yields Compromise on Price Discovery Policy
· NCBA Members Hammering Out Policy At Summer Meeting
NCBA passes policy to increase cash trade levels
By Meghan Grebner, Brownfield
July 30, 2020
Members of the National Cattleman’s Beef Association have taken their first major policy step to increase cash trade levels.
Matt Deppe, CEO of the Iowa Cattlemen’s Association, says through the NCBA’s grassroots process, the members and the organization’s Board of Directors unanimously passed policy that supports voluntary efforts to improve cash fed cattle trade. “Those triggers would include a regular approach on what those levels of price discovery are per region,” he says. “In terms of negotiated grid type purchases or sales or negotiated cash as well as what levels consistently.”
He tells Brownfield it wasn’t exactly what they wanted, but it puts a tangible plan in place. “In the end, we came to a compromise that at least gives us a path forward,” he says. “That does establish that we are willing, as a cash industry, to go legislative and regulatory given some factors implied.”
Deppe says the working group has until October 1 to determine the triggers.
If the voluntary approach doesn’t achieve robust price discovery...
more, including audio [7:53 min.]
Improved Cash Cattle Trade Vigorously Debated at Summer Cattle Industry Business Meeting
Oklahoma Farm Report
30 Jul 2020
SIX HOURS! That’s how long the NCBA Live Cattle Marketing Committee met in Denver on Wednesday- chasing the goal of improving Price Discovery for the fed cattle market- and eventually developing a compromise which was dictated in real time to staff and seen by everyone in the Committee room on the screen.
The resolution that came together after several hours of back and forth states "NCBA supports a voluntary approach that:
1. Increases frequent and transparent negotiated trade to a regionally sufficient level, to achive robust price discovery determined by NCBA funded and directed research in all major cattle feeding regions and
2. Includes triggers to be dtermined by a working group of NCBA producer leaders by October 1, 2020.
Be it further resolved, if the voluntary approach does not achive robust price discovery as determined by NCBA funded and directed resaearch, and the meet the established triggers that increase frequent and transparent negotiated trade to a regionally sufficient level, and triggers are activated, NCBA will pursue a legislative or regulatory solution.
Be it further resolved, NCBA will support a three year review/sunset provision on any negotiated trade solutions mplemented to allow for a thorough cost benefit analysis to be conducted."
Bottom line that came out of the meeting- state cattle groups agree that NCBA will aggressively pursue a voluntary path but...
more, including audio [4:07 min.]
Marathon Live Cattle Committee Meeting At NCBA Summer Conference Yields Compromise on Price Discovery Policy
Oklahoma Farm Report
30 Jul 2020
Marathon Live Cattle Committee Meeting At NCBA Summer Conference Yields Compromise on Price Discovery Policy After a six-hour marathon meeting of the NCBA’s live cattle committee Wednesday it was obvious more price discovery for the fed cattle market is an absolute necessity. Ron Hays, Radio Oklahoma Ag Network Farm Director attended that committee meeting during the NCBA summer business conference in Denver and talked with Mike Deering, executive director of the Missouri Cattlemen’s Association.
There were two distinct sides divided along the lines of wanting a legislative regulatory solution or a voluntary market driven concept for more robust price discovery.
Deering, along with others from Iowa, Nebraska and Texas, supports a legislative regulatory solution because the voluntary market driven approach has not worked.
We were really trying to put some teeth in the policy, Deering said, in order to give NCBA direction to purse a mandatory effort to get robust price discovery.
We came together with a compromise as the grassroots policy development process worked, he said.
The compromise includes triggers or specific points that need to be met or the full weight of the NCBA membership will be brought to bear on all fronts.
Triggers include meeting the minimums as specified in the Colorado State study which outlines the minimum levels packers need to buy enough cattle on cash trade.
Meeting participants also passed the “LMR policy,” which stated the data is important as we need formula transactions to allow us to truly know what the value of cattle are and the price distribution, Deering said.
Also, in the LMR policy is the removal of the confidentiality guidelines.
This is huge for NCBA to have this in there, he said.
The LMR or Livestock Mandatory Reporting Act was passed by Congress in 1999 and reauthorized numerous times since, specifies mandated price reporting for live cattle, boxed beef, and live swine.
The LMR is set to be reauthorized by Congress this fall.
Colin Woodall, NCBA chief executive officer, watched the proceedings and said the group’s grassroots policy process worked.
This was one of the longest and most contentious committee meetings we’ve had in my 17 years with NCBA, he said.
We agreed that we need more cash trade...
more, including audio [6:40 min.]
NCBA Members Hammering Out Policy At Summer Meeting
Radio 570 WNAX (SD)
Jul 30, 2020
National Cattlemen’s Beef Association members are hashing out policy at their summer meeting in Denver this week. Policy Division Chairman and South Dakota cattle producer Todd Wilkinson says their top issue is trying to improve market transparency in the live cattle markets.
He says they want to stay away from any mandated market requirements for packers to purchase a specific amount of cattle. Wilkinson says they’d rather focus on improving price discovery.
Wilkinson says other potential market fixes they’re looking at would involve problems involving confidentiality in some market reporting.
Wilkinson says the long range plan NCBA is formulating includes improvements...
more, including audio [1:56 min.]