Informa Study Finds Economic Losses Under GIPSA Rule

Cindy Zimmerman

An Informa Economics study on the economic impact of the proposed GIPSA rules finds it could cost the economy $1.5 billion and nearly 23,000 jobs. The study, which was conducted on behalf of meat industry organizations, was released today in Kansas City by representatives of the National Cattlemen’s Beef Association, National Pork Producers Council, National Turkey Federation and National Meat Association.

In addition to the economic impact, the study found that a majority of industry participants think the rule language is “vague and poorly-defined”; that companies affected by the rule are uncertain about how it will be interpreted and enforced, and that “the provision that removes the burden for litigants to show competitive injury in order to seek damages is by far the largest area of concern. Informa finds that nearly 75% of the expected economic damage arising from this proposed rule can be tied directly to this provision.”

We’ll have more information about this study and the differences between its findings and the recent John Dunham study coming up shortly.

Beef, Livestock, NCBA, Pork, Poultry

NAFB Convention Underway

Chuck Zimmerman

Day one of the NAFB convention is underway. Showing their concern for the environment, you can get an NAFB water bottle to use and re-use, sponsored by Boehringer-Ingelheim.

The first activity on the schedule is the meeting of the Marketing & Promotion Advisory Board. Photos are in the photo album. Cindy is on her way and throughout the next couple days we’ll bring you all the action we can.

NAFB Convention Photo Album

NAFB

Zimfo Bytes

Melissa Sandfort

    Zimfo Bytes

    NAFB Executive Director Says Attendance Strong

    Chuck Zimmerman

    The staff of the National Association of Farm Broadcasting is hard at work setting up for convention number sixty six. I caught a few of them during a discussion. The NAFB Executive Director is Mark Vail, pictured center.

    I spoke with Mark to get a short update on how things are going. It looks like attendance is going to be strong judging by pre-registrations.

    You can listen to my interview with Mark here: Mark Vail Interview

    The NAFB board of directors held their meeting during the day today.

    They concluded early though so I hope that means everything is going smoothly. I’ll be interviewing some of them over the next couple days to get their individual thoughts and perspectives.

    NAFB Convention Photo Album

    Audio, NAFB

    AgWired At NAFB

    Chuck Zimmerman

    It’s a little quiet right now in the news room at the National Association of Farm Broadcasting convention. That’s probably because it’s still being set up and I’m just early. Thanks to Megan Fairchild Anderson, Padilla Speer Beardsley, for taking the photo. She’s helping Sandi Wilson, BASF, who are the sponsors once again of the news room. Thank you BASF!

    I’ve got a photo album already started which Cindy and I will be adding to throughout this week’s convention. You can find it here: NAFB Convention Photo Album

    NAFB

    Pork Producers Have 7 Reasons to Oppose GIPSA

    Cindy Zimmerman

    With just two weeks before the comment period deadline remaining, the National Pork Producers Council is calling on consumers to join with meat producers in opposing the proposed Grain Inspection, Packers and Stockyards Administration (GIPSA) rule and they have come up with seven reasons why they should:

    No. 1 It’s a solution in search of a problem.

    The rule is based on the assumption that today’s livestock markets don’t function properly. In fact, current markets operate well for producers, packers and consumers alike. USDA’s own, peer-reviewed research confirms this. Neither a 1996 study on concentration in meat packing nor a 2007 meat marketing study found evidence of undue buyer or seller power in livestock markets. Meanwhile, food expenditures as a percentage of disposable income in this country are the lowest in the developed world – and have been declining steadily for decades.

    No. 2 It’s a federal regulation on steroids – an unneeded bureaucratic overreach that does an end-run around Congress and caters to those who can’t compete.

    GIPSA says the rule simply fulfills a mandate under the 2008 Farm Bill. In fact, it goes way beyond the specific requirements in the Farm Bill. Ironically, it adopts through regulation what a small band of disgruntled producers couldn’t achieve through legislation. Several of the provisions were either specifically rejected by Congress or are counter to federal court rulings. Why should we remake the system to suit a tiny fraction of producers who can’t compete in today’s markets?

    No. 3 It will raise consumer meat prices.

    Massive new regulatory requirements will translate into higher costs, which ultimately will be paid for by consumers in the form of higher retail meat prices.

    Read More

    Beef, GIPSA, NCBA, NPPC, Pork

    Woodruff Sweitzer in a Growth Phase

    Cindy Zimmerman

    ZimmCast 280The ZimmCast series of interviews with agricultural marketing agency leadership continues with the co-founder of Woodruff Sweitzer, Terry Woodruff.

    Terry and his partner Steve Sweitzer both grew up in rural Mexico, Missouri which is just down the road a piece from Columbia where one of their several offices is located. Others are in Kansas City and Calgery, Alberta. The two started the agency in 1992 and today Terry says they are experiencing great growth.

    ag agency“For the past three years, we’ve been very fortunate to grow 20-25 percent,” he said. They have moved both Missouri offices to larger locations and the Calgary office will also be moving. “We continue to grow, we’re looking to fill positions in all areas within interactive strategies,” and he wants Agwired readers to know that they have job openings.

    Woodruff Sweitzer’s client base includes a number of agriculture and animal health companies, including Bayer Animal Health and the National Pork Board, and Terry says they are a true North American agency. “We were one of the first, if not the first, to have cross border offices, and I think the insights that we share back and forth in both markets is extremely valuable.”

    Please enjoy this week’s program and learn more about Woodruff Sweitzer: ZimmCast 281 - Interview with Terry Woodruff

    This week’s program ends with some fun music from Music Alley in tribute to Chuck’s annual deer hunting event. It’s called “Hunting in Suburbia” by Jukebox Sinners.

    Thanks to our ZimmCast sponsors, Novus International, and Leica Geosytems for their support.

    The ZimmCast is the official weekly podcast of AgWired. Subscribe so you can listen when and where you want. Just go to our a Subscribe page

    Agencies, Audio, ZimmCast

    The Weight of the World is On My…Horns?

    Melissa Sandfort

    It seems like my grandpa knows a little bit about a lot of things. Jack of all trades, master of none is how some people put it. I like to think he’s a walking dictionary, encyclopedia and history book, and I enjoy his stories. The other day, I asked him to pull something out of his treasure trailer that he thought would make for a good story. At first, when I heard what these were, I thought, “How vain. Fixing purebred cattle horns just so they look good.” Shows you how much I knew about these cast iron horn weights.

    Back in the day, these were tightened, using a set screw, to the end of purebred Hereford bull horns to train them to the correct curvature. Breeders knew what the proper curve was in order to meet the requirements necessary to be purebred stock.

    As I read more about this so-called horn training, I found out that there are fewer problems with horned cattle maneuvering down an alleyway or going through a chute by using a newer technique called sloping.

    Want to know more? Read this 2009 article from HerefordWorld.org that talks about horn curvature and also highlights pain prevention and dehorning techniques. That was my history lesson for the day, and a story that helped me get over feeling like horn weights were just for a bull’s good looks.

    Until we walk again…

    Uncategorized

    Novus Celebrates Green Acres Farm

    Cindy Zimmerman

    Novus International employees from around the world joined with the community of Montgomery County, Missouri and the agriculture industry statewide to celebrate the opening of their new research facility Green Acres Farm.

    “It was really important for us to find a welcoming community,” said Novus CEO Thad Simons at the ribbon cutting ceremony on Saturday. With him were Missouri Director of Agriculture Dr. Jon Hagler and newly elected State Representative Bart Korman of Montgomery County; as well as other company, state and local representatives.

    Dr. Hagler was joined by his new wife State Rep. Linda Black of southeast Missouri. “Just to tell you how important Novus is to me, we stopped here on our way to the honeymoon,” Hagler said as he introduced his wife.

    Listen to or download remarks from Rep. Korman, Jon Hagler and Thad Simons here: Novus Green Acres

    See photos from the event in our Flickr photo album.

    Here’s a little video tour of Green Acres Farm, led by Novus manager of product research Skip Hampton.

    Audio, Dairy, Livestock, Novus International, Poultry, Research, Swine, Video

    NAFB Convention Week

    Chuck Zimmerman

    It’s a beautiful morning in Mid Missouri. It’s NAFB convention week. It’s also fall deer hunting time! Opening day for me is this Saturday. In fact, I’m forcing myself to spend today and part of tomorrow getting the camp set up. Then it’s on to KC, MO for NAFB.

    Remember that you can follow all the action as the farm broadcasters get together with the Twitter hashtag, #NAFB.

    NAFB