Nebraska Farmers Union (NeFU) announced its strong support for Senators Fischer, Grassley, Tester, and Wyden's updated Cattle Market Reform Bill. NeFU has been calling on Congress for years to address the lack of competition in agricultural markets, including all the meat markets. The four firm concentration ratio (CR4) in beef markets is 85%.
NeFU President John Hansen said, "This negotiated bi-partisan bill represents an historic opportunity to substantially improve and reform beef markets. This bill will dramatically increase beef market competition, transparency, the volume of mandatory price reporting data, cash market sales, penalties for packer violations, and establishes a cattle contract library. The updated Senate bill is an extremely positive step in the right direction towards restoring competition. It needs to move forward."
NeFU Vice President and Policy Chair Vern Jantzen of Plymouth said, "Our current beef market system is badly broken. It needs a comprehensive overhaul. NeFU policy supports these critical beef market reform provisions. Beef production is the largest source of farm income in Nebraska, and is critical to the future of our state. If we want beef producers tomorrow, we must act today to fix our broken beef markets."
Hansen said, "According to the February 2022 USDA NASS data, Nebraska's beef industry is the leading source of farm income in our state and ranked 1st in the nation in commercial cattle slaughter, 2nd in beef and veal exports, all cattle and calves, all cattle on feed, and commercial red meat production, and 4th in beef cows. It is fair to say that the future of our state and our beef industry are linked. The better our beef does, the better our state does. When beef producers make money, it drives the rural and state economy forward. It is critical to the future of our state that Congress fixes our broken beef markets."
"We strongly urge the Senate Ag Committee and Congress to take full advantage of the high tide of bi-partisan momentum that exists today to begin the process of restoring competition in beef markets. It will be a long and frustrating process. President Biden's Executive Order on Competition provides us additional leverage that we should fully utilize. We thank Senator Fischer for her hard work, tenacity, and leadership. We urge all beef producers and beef supporters to help Senator Fischer move the badly needed reform package forward", Hansen concluded.
Jantzen said, "Our hard-working beef producers are not only world class beef producers, they are world class natural resource managers. It is imperative that we focus on the nuts and bolts of beef market reforms so that our beef producers can get paid a fair price for the top-quality beef they produce."
Photo Credit: nebraska-farm-bureau
Categories: Nebraska, Government & Policy