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News Update

December 08, 2011

USDA Implements Provisions from
2008 Farm Bill to Protect Livestock and Poultry Producers

Agriculture Secretary Tom Vilsack today announced USDA has published the Final Rule implementing the 2008 Farm Bill provisions to better protect livestock producers and poultry growers under the Grain Inspection, Packers and Stockyards Administration (GIPSA).

“As I travel throughout the countryside, I often hear from farmers and ranchers about their concerns with the marketplace becoming more concentrated,” Vilsack said. "While concentration certainly comes with some efficiencies, Congress recognized in the 2008 Farm Bill that additional protections for producers are warranted. Today’s rule will implement these targeted protections and help provide more fairness and transparency in the marketplace.”

The provisions being finalized by the Department were required by the 2008 Farm Bill and have been modified from the June 22, 2010, proposed rule. These sections include criteria the Secretary may consider when determining whether a live poultry dealer has provided reasonable notice to poultry growers of any suspension of the delivery of birds; when determining whether a requirement of additional capital investments over the life of a poultry growing arrangement or swine production contract constitutes a violation of the Packers and Stockyards Act; and when determining if a packer, swine contractor, or live poultry dealer has provided a reasonable period of time for a grower to remedy a breach of contract that could lead to termination of a production contract.

The rule also includes a section requiring contracts that require the use of arbitration to include language on the signature page that allows the producer or grower to decline arbitration, and provides criteria the Secretary may consider when determining if the arbitration process provided in a contract provides a meaningful opportunity for growers and producers to participate fully in the arbitration process.

The Department also planned to seek additional public comment on several other revised provisions from the June 22, 2010, proposed rule, including changes to the tournament system of payment for poultry growers, requirements to collect and post sample contracts and to address the issue of need for producers to show harm to competition prior to asserting a violation of the Packer and Stockyards Act. However, the fiscal year (FY) 2012 Agriculture Appropriations bill passed by Congress included language prohibiting the Department from moving forward on these provisions.


Livestock, Poultry Coalition Requests Hearing on the Renewable Fuel Standard’s Impact on Economy

In a letter to the Senate Environment and Public Works (EPW) Committee, a coalition of the U.S. livestock and poultry industry associations, including the National Cattlemen’s Beef Association, the American Meat Institute, the National Chicken Council, the National Meat Association, the National Pork Producers Council and the National Turkey Federation, requested a hearing to discuss the Renewable Fuel Standard (RFS) impact on the economy. The groups cited ongoing pressure on domestic feed grain supplies and a discovery of $9 million of fraudulent renewable identification numbers as justifications for a hearing.

“In light of the ongoing pressures that the RFS is placing on the domestic feed grain supplies, something must be done to protect livestock and poultry producers from excessively high corn prices because of the rigid RFS compliance system,” the groups told Committee Chair Barbara Boxer (D- Calif.) and Ranking Member James Inhofe (R-Okla.). “Therefore, we request that the Senate hold a hearing to examine the continued pressure on grain supplies and the impact that it is having on the bottom line of livestock and poultry producers.”

The letter noted that a 2011 National Academy of Sciences study found that since 2007, the diversion of portions of the corn crop to ethanol production has been a contributing factor to the increased strain on livestock and poultry producers. While other factors play a role, the RFS mandate is the sole area the U.S. government can control, the groups said.

“Not only are the meat and poultry industries asking the Senate committee to make an attempt to understand the impact on farmers and ranchers, but we also are asking the committee to consider the impact on the American consumer,” the groups said. “The livestock and meat and poultry coalition thinks an EPW committee hearing to examine the continued merits and impact of this broad reaching policy would be timely and relevant.”


New AgriLife Extension Program
Aims to Teach Farmers About iPhones/iPads

The Texas AgriLife Extension Service is conducting a new project to develop and teach agricultural applications for iPhones and iPads to farmers.

Five hands-on workshops, all with the same curriculum, are scheduled from 9 a.m.-3 p.m. in January. Dates and locations are:

“Our AgriLife Extension team will train producers to use these apps to more effectively manage risks in their business and improve their financial bottom line,” said Jackie Smith, AgriLife Extension economist at Lubbock. “They’ll learn to access market data to help evaluate relevant pricing strategies. They’ll also improve their knowledge of costs and breakevens by using the Cost of Production app the team developed.”

Smith said other apps will relate to crop insurance, marketing plans, optimum irrigation water allocation and various time-saving calculators and other tools.

Each workshop participant will have access to iPads with apps already installed, Smith said. They’ll use case studies to improve their price and production risk management skills.

Each workshop will be restricted to 30 participants. Husband-and-wife participation will only require one registration fee.

Registration is $50 to be paid at the door by check.

For more details on each workshop, go to http://SouthPlainsprofit.tamu.edu and click on iPhone/iPad Workshops.

To reserve a spot in any of the workshops call the Lubbock center at 806-746-6101 and ask for Viki.


KLA Hires Popelka as V.P. of Legal and Government Affairs

The Kansas Livestock Association (KLA) has announced Aaron Popelka will join the trade organization’s professional staff in early January as vice president of legal and government affairs. Popelka currently serves as chief counsel for U.S. Sen. Jerry Moran. He has been a key member of the senator’s staff since 2006 when Moran was in the U.S. House of Representatives and a member of the U.S. House Agriculture Committee. During his tenure with Moran, Popelka worked on issues affecting agriculture, energy, environment, trade and water. He was very involved in helping to write the 2008 Farm Bill, of which Moran played a key leadership role during joint House-Senate Conference Committee negotiations.

Popelka was raised on a crop and cattle operation near Munden in north central Kansas. He graduated summa cum laude from Kansas State University (K-State) with a degree in agricultural economics. At K-State, he was a member of Alpha Gamma Rho Fraternity and the Golden Key Honorary.

He subsequently studied a concentrated program of agricultural law at the University of Nebraska, where he received a juris doctorate degree, with distinction. Popelka was in private practice with a law firm for two years before joining Moran’s staff. “KLA is fortunate to have acquired a highly qualified attorney to join other experienced staff lobbyists and lead our legal and governmental affairs efforts, which are a major thrust of KLA’s mission to serve members,” said KLA Executive Vice President Dee Likes. “Aaron’s years of experience in agricultural law and expertise on legislative and regulatory issues at the highest levels of government will be a valuable asset to KLA members and the agriculture industry.”

KLA is a trade organization representing the state’s livestock business on legislative, regulatory and industry issues at both the state and federal levels. The association’s work is funded through voluntary dues dollars paid by its members.

 
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