In this file:

 

·         Congress Looking Again at Cattle Markets, Comprehensively

… House Agriculture Committee Chairman David Scott, D-Ga., asked Grassley to testify in the hearing Thursday to review the state of the livestock industry…

 

·         House Agriculture Committee to Hear Review on State of Livestock Industry

Meat industry representatives will defend their operations and pricing practices on Thursday before the full House Agriculture Committee during a “Hearing to Review the State of the Livestock Industry.”

 

·         Meat Institute Points to Analysis That Government Interference in Markets Could Cost Cattle Producers Billions of Dollars

… “Thursday the House Agriculture Committee will hold the fourth Congressional hearing this year on beef and cattle markets. It is no surprise that the Texas A&M analysis reflects the expert testimony at each hearing: supply and demand have the most influence on the price of cattle and goods for consumers,” said Meat Institute President and CEO, Julie Anna Potts…

 

 

Congress Looking Again at Cattle Markets, Comprehensively

 

By Chris Clayton, DTN/Progressive Farmer

10/6/2021

 

Sen. Chuck Grassley, R-Iowa, will get a chance on Thursday to make his case that major reforms are needed to bring back fairness to cattle markets. Grassley will do that on the opposite side of Congress as he'll testify before the House Agriculture Committee.

 

House Agriculture Committee Chairman David Scott, D-Ga., asked Grassley to testify in the hearing Thursday to review the state of the livestock industry. Grassley acknowledged it is unusual for a sitting senator to come testify before a House hearing. Grassley and Sen. Jon Tester, D-Mont., have championed their bill which would require packers to buy 50% of their cattle from negotiated cash trade.

 

"I went to Chairman Scott, way back in June maybe, to talk about the need for the Grassley bill, on getting fair markets and a fair price for independent producers who negotiate," Grassley said. "You've heard me say it a few times, these four big corporations that have 85% of the slaughter of cattle practically rule out a market for those who want to negotiate on a daily basis rather than pre-contracting."

 

Grassley said he talked with Scott about the problems the packer purchase agreements were placing on Midwest producers.

 

After Grassley, Agriculture Secretary Tom Vilsack will testify. He will be followed by a panel of producers and a representative from the packers:

 

more

https://www.dtnpf.com/agriculture/web/ag/blogs/ag-policy-blog/blog-post/2021/10/06/congress-looking-cattle-markets

 

 

House Agriculture Committee to Hear Review on State of Livestock Industry

 

By Jennifer Shike, FarmJournal's Pork 

October 6, 2021

 

Meat industry representatives will defend their operations and pricing practices on Thursday before the full House Agriculture Committee during a “Hearing to Review the State of the Livestock Industry.”

 

Republican Sen. Chuck Grassley (R-Iowa) and USDA Secretary Tom Vilsack will address the committee. In addition, industry representatives on the witness list include Scott Hays, vice president of the National Pork Producers Council; Todd Wilkinson, vice president of the National Cattlemen’s Beef Association; Francois Leger, owner of FPL Food in Augusta, Ga., testifying on behalf of the North American Meat Institute; Scott Blubaugh, president of the Oklahoma Farmers Union, testifying on behalf of the National Farmers Union; and Brad Boner, vice president of the American Sheep Industry Association.

 

The hearing is scheduled for noon Eastern time on Oct. 6 and may be attended in person or virtually.

 

Earlier this week, Vilsack announced...

 

more

https://www.porkbusiness.com/news/ag-policy/house-agriculture-committee-hear-review-state-livestock-industry

 

 

Meat Institute Points to Analysis That Government Interference in Markets Could Cost Cattle Producers Billions of Dollars

 

Oklahoma Farm Report

06 Oct 2021

 

In response to a bipartisan request from the House Agriculture Committee, Texas A&M University has completed a comprehensive report on the U.S. cattle and beef markets written by leading economists across the country. Among its key findings is that proposals increasing government intervention and mandates will cost livestock producers billions of dollars.

 

“Thursday the House Agriculture Committee will hold the fourth Congressional hearing this year on beef and cattle markets. It is no surprise that the Texas A&M analysis reflects the expert testimony at each hearing: supply and demand have the most influence on the price of cattle and goods for consumers,” said Meat Institute President and CEO, Julie Anna Potts.

 

The analysis is a 180 page book called “The U.S. Beef Supply Chain: Issues and Challenges,” and is the result of a collaboration with Texas A&M’s Agricultural and Food Policy Center, national experts and the U.S. Department of Agriculture.

 

“The Texas A&M book went one step further and examined current legislative proposals and found these proposals’ unintended consequences will harm those they are meant to protect: cattle producers," Potts said. "This book should be required reading for Members of Congress who want to help livestock producers and consumers.”

 

One of the most significant findings was regarding government mandates included in proposed legislation by Members of Congress (called the 50/14 or 30/14 proposals) to require minimum negotiated cash market purchases. Dr. Stephen R. Koontz, Professor in the Department of Agricultural and Resource Economics at Colorado State University found:

 

“The short-term impact for a policy most like that being considered is a $2.5 billion negative impact in the first year and a cumulative negative impact of $16 billion over 10 years, inflated to 2021 dollars. This cost is leveled mainly on cattle producers,” said Koontz. “The 50/14 proposal would have these negative impacts and the 30/14 would have similar negative impacts albeit approximately halved.” (Page 104)

 

Similar to the experts and economists who have testified before Congress, the book’s introduction contains this warning:

 

“In the meantime, we would urge extreme caution in making changes to a system that has grown organically over time to reward high-quality beef production in a way that acknowledges regional differences throughout the country.” (emphasis added) Page ix

 

The book contains the following critical arguments:

 

Regarding Concentration ...

 

Fed Cattle Pricing ...

 

Regarding Price Discovery ...

 

Requiring Minimum Cash Transactions ...

 

Regarding Capacity ...

 

more

http://www.oklahomafarmreport.com/wire/news/2021/10/00613_MeatInstituteOnAFPCBookCattlemkts10062021_054304.php