cattle markets

R-CALF Issues Rebuke on Call for Regional Cash Market Minimums

Dan Cattle

R-CALF

A document sent to the Senate Agriculture Committee from R-CALF calls for mandating large packing plants to purchase at least 50 percent of their cattle needs from negotiated cash cattle markets.

Announced Thursday, R-CALF USA says the white paper provides real-time evidence that varying minimum cash cattle purchase requirements region-to-region will allow major beef packers to continue denying timely market access to independent cattle feeders.

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The document is titled, “Why a 50 percent National Negotiated Cash Volume Is Needed and Why That Volume Should Not Vary Region by Region.” The group’s paper provides the example of at least one Iowa cash cattle seller who was informed that one major packer was out of the market for five weeks and another was reducing Iowa cash cattle purchases.

By mandating that all large packing plants purchase at least 50 percent of their cattle needs from negotiated cash cattle markets, the group says Congress can ensure that independent cattle producers located everywhere have access to a competitive market.

(From the National Association of Farm Broadcasters)