Informa GIPSA Rule Study Results

Chuck Zimmerman

This morning at the NAFB convention a press conference was held the National Cattlemen’s Beef Association (NCBA), the National Pork Producers Council (NPPC), the National Turkey Federation (NTF) and the National Meat Association (NMA) to release the results of an economic analysis of USDA’s proposed livestock and poultry marketing regulation – the so-called GIPSA rule. I’ve posted the audio of the remarks from the presenters below. There is a lot of information in the report. Some key points include their finding that if the rule is imposed as proposed we would see an annual drop in gross domestic product of as much as $1.56 billion, a loos of more than 22,000 jobs and an annual loss of $359 million in tax revenues.

Panelists included Steve Meyer, president of Paragon Economics, who moderated the event; Rob Murphy, senior vice president of Informa Economics; Jim Maxey, a long-time NMA member and past chairman of the board; Bill Donald, Montana rancher and NCBA president-elect; Doug Wolf, Wisconsin pork producer and NPPC president-elect; and John Burkel, Minnesota turkey producer.

You can find the Informa report online.

Here’s where you can listen to or download the press conference audio: Informa GIPSA Rule Press Conference
NAFB Convention Photo Album

Ag Groups, Audio, GIPSA, NCBA, NPPC

NAFB Scholarship Winners

Chuck Zimmerman

The winners of this year’s NAFB Foundation scholarships were announced today during the Foundation luncheon. They include Denise Donley, Southern Illinois University, Edwardsville; Taylor James, Kansas State University and Julie Martin, University of Wisconsin-Madison. They’re pictured with Taylor Brown, Northern Ag Network.

I asked them how it felt to be selected and what they intend to do with their careers. You can listen to my interview with our NAFB Foundation scholarship winners here: NAFB Foundation Scholarship Interview
NAFB Convention Photo Album

Audio, Education, NAFB

Support NAFB Foundation

Chuck Zimmerman

The NAFB Foundation board met prior to the start of the convention. Leading them was outgoing Foundation President, Taylor Brown, Northern Ag Network.

Taylor says “things are rolling.” There are two new members to the board, Don Wick and Ken Root. Ken Anderson will be the new President of the Foundation. To support the effort Taylor says this is the last year of the NAFB Foundation toy tractor project and you can still purchase one. Over the years of the program the project has generated over $60,000! Of course there is the silent and live auction here and new this year is a 50-50 raffle. Learn what he sees for the future of the Foundation in my interview with him.

You can listen to my interview with Taylor here: Taylor Brown Interview
NAFB Convention Photo Album

Audio, NAFB

NAFB Marketing & Promotion Advisory Board Meeting

Chuck Zimmerman

The National Association of Farm Broadcasting Marketing and Promotion Advisory Board is meeting this morning at the convention. On the board as well as the NAFB board of directors is Kyle Bauer, center, KFRM.

I spoke with Kyle during a break to get an update about the activities of the advisory board. Kyle says the research the group does is shared with members to help them manage their broadcast properties. He says that looking forward a continuing effort will be made to look at new forms of electronic communications, how that is being used by farmers and how it can be integrated with traditional farm radio broadcasting.

You can listen to my interview with Kyle here: Kyle Bauer Interview
NAFB Convention Photo Album

Audio, NAFB

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.

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    Beef, GIPSA, NCBA, NPPC, Pork