Tommy
Well-known member
NCBA, R-CALF debate update
NCBA, R-CALF agree to disagree at debate
By Jeff DeYoung, Iowa Farmer Today
September 21, 2005
SPENCER, IOWA -- Representatives from the National Cattlemen's Beef Association (NCBA) and R-CALF USA (Ranchers-Cattlemen Action Legal Fund) agreed to disagree at a forum here Sept. 14 during the Clay County Fair.
On most subjects — the Canadian border, beef imports from other countries, the ban on U.S. beef in Japan — it appeared the two sides remained far apart on their stance on the issues.
Chief economist Gregg Doud represented the NCBA while R-CALF CEO Bill Bullard spoke for his group.
An audience member asked about importing foreign beef into the United States, particularly in the wake of BSE (mad-cow disease) cases in Canada, Japan and other countries.
Foreign beef
Doud said there was little risk involved in importing beef.
"Any packing plant in the world is regulated by the Food Safety and Inspection Service before it can export beef into the United States, and those regulations are exactly the same as they are in the U.S.," he said.
"To say it's not safe, let's be honest and say you're protectionist. The beef is safe. When you say it isn't, you give the pork and poultry guys a clean shot at it."
Bullard maintained there is risk in imported beef.
"We have requirements but we don't have the personnel for those plants like we have in the U.S.," he said. "This is a $48 billion industry, and we need to be vigilant to make sure our product is differentiated from the rest."
Bullard said R-CALF is concerned that by allowing Canadian beef into the United States, it will hurt U.S. access to some export markets.
Country of origin labeling
Implementing country-of-origin labeling (COOL) will help U.S. producers, he added.
"We need to have a positive tool to compete in the domestic and export market, and the way to do that is COOL," he said. "It takes control away from the packer."
Although the NCBA supports the COOL concept, Doud said it has some issues with wording of the legislation.
"How much beef from Australia, New Zealand, Canada actually ends up in the U.S.? Practically none, and what does come here goes into the food-service industry," he said. "Right now, food service is exempt from this law."
Beef checkoff
Bullard believes COOL ties into the beef checkoff, which the U.S. Supreme Court recently ruled as constitutional.
"R-CALF does not have a position on the checkoff. We support a periodic vote on it," he said.
"But, if you're going to have a mandatory checkoff, you need to be able to promote a USA product. If you are going to be competitive, you need to be able to advertise and market your product."
Doud noted the checkoff was directly responsible for the development of 1,500 new beef products over the past five years.
Open border
Bullard expressed displeasure about a recent federal court ruling allowing live, young Canadian cattle into the United States. R-CALF and other groups previously won an injunction against the USDA in a Montana district court.
"Cargill and IBP have been able to reach into Canada and grab those live cattle when prices here got too high, and that brought the prices down," he said. "That practice stopped when BSE was found in Canada."
Bullard said Canada was not testing enough cattle for BSE, adding bringing live animals into the United States increased the risk for another BSE outbreak.
Doud disagreed.
"Canada is actually testing more animals than we are," he said.
"They have a national identification system. Every one of our competitors has one.
"That's where our competitive disadvantage is right now. The whole world requires traceability, and we don't have it.
"Canada is a competitor, and they are going to be until we can get our act together on traceability."
Japanese trade
Bullard believes beef exports to Japan would have resumed by now if the USDA would agree to test all animals.
"We had an independent packer that wanted to do that in Kansas, and by saying no, the USDA effectively is blocking us from that market," he said.
Doud said he has spent the past 19 months working on resuming exports to Japan, and stated the Japanese have never asked for 100 percent testing. He said some have called this the most difficult trade issue since 1980, when the United States imposed a grain embargo on the Soviet Union after the Soviet invasion of Afghanistan.
"The Japanese consumer has lost confidence in the entire beef industry, and that's the process we're dealing with," Doud said. "This is about restoring confidence in beef safety in Japan."
Industry divisiness
Both men were asked about the divisiveness within the beef industry.
Although he has been with the NCBA for less than two years, Doud said he learned about the divisiveness in the past, and hopes to be able to work through it for a more unified beef industry.
"I understand that, and there was a time when we had to give access to get access, but not anymore," he said.
"But, we can't be protectionist.
"That's what they have done in the Middle East, isolating themselves, and that is a failed business model."
Bullard said producers have been told without a thriving export market, the U.S. beef industry would suffer.
Recent events, he added, have disproved that argument and shown more focus is needed on domestic demand.
"BSE stopped our exports, and your prices stayed at historical highs," he said.
NCBA, R-CALF agree to disagree at debate
By Jeff DeYoung, Iowa Farmer Today
September 21, 2005
SPENCER, IOWA -- Representatives from the National Cattlemen's Beef Association (NCBA) and R-CALF USA (Ranchers-Cattlemen Action Legal Fund) agreed to disagree at a forum here Sept. 14 during the Clay County Fair.
On most subjects — the Canadian border, beef imports from other countries, the ban on U.S. beef in Japan — it appeared the two sides remained far apart on their stance on the issues.
Chief economist Gregg Doud represented the NCBA while R-CALF CEO Bill Bullard spoke for his group.
An audience member asked about importing foreign beef into the United States, particularly in the wake of BSE (mad-cow disease) cases in Canada, Japan and other countries.
Foreign beef
Doud said there was little risk involved in importing beef.
"Any packing plant in the world is regulated by the Food Safety and Inspection Service before it can export beef into the United States, and those regulations are exactly the same as they are in the U.S.," he said.
"To say it's not safe, let's be honest and say you're protectionist. The beef is safe. When you say it isn't, you give the pork and poultry guys a clean shot at it."
Bullard maintained there is risk in imported beef.
"We have requirements but we don't have the personnel for those plants like we have in the U.S.," he said. "This is a $48 billion industry, and we need to be vigilant to make sure our product is differentiated from the rest."
Bullard said R-CALF is concerned that by allowing Canadian beef into the United States, it will hurt U.S. access to some export markets.
Country of origin labeling
Implementing country-of-origin labeling (COOL) will help U.S. producers, he added.
"We need to have a positive tool to compete in the domestic and export market, and the way to do that is COOL," he said. "It takes control away from the packer."
Although the NCBA supports the COOL concept, Doud said it has some issues with wording of the legislation.
"How much beef from Australia, New Zealand, Canada actually ends up in the U.S.? Practically none, and what does come here goes into the food-service industry," he said. "Right now, food service is exempt from this law."
Beef checkoff
Bullard believes COOL ties into the beef checkoff, which the U.S. Supreme Court recently ruled as constitutional.
"R-CALF does not have a position on the checkoff. We support a periodic vote on it," he said.
"But, if you're going to have a mandatory checkoff, you need to be able to promote a USA product. If you are going to be competitive, you need to be able to advertise and market your product."
Doud noted the checkoff was directly responsible for the development of 1,500 new beef products over the past five years.
Open border
Bullard expressed displeasure about a recent federal court ruling allowing live, young Canadian cattle into the United States. R-CALF and other groups previously won an injunction against the USDA in a Montana district court.
"Cargill and IBP have been able to reach into Canada and grab those live cattle when prices here got too high, and that brought the prices down," he said. "That practice stopped when BSE was found in Canada."
Bullard said Canada was not testing enough cattle for BSE, adding bringing live animals into the United States increased the risk for another BSE outbreak.
Doud disagreed.
"Canada is actually testing more animals than we are," he said.
"They have a national identification system. Every one of our competitors has one.
"That's where our competitive disadvantage is right now. The whole world requires traceability, and we don't have it.
"Canada is a competitor, and they are going to be until we can get our act together on traceability."
Japanese trade
Bullard believes beef exports to Japan would have resumed by now if the USDA would agree to test all animals.
"We had an independent packer that wanted to do that in Kansas, and by saying no, the USDA effectively is blocking us from that market," he said.
Doud said he has spent the past 19 months working on resuming exports to Japan, and stated the Japanese have never asked for 100 percent testing. He said some have called this the most difficult trade issue since 1980, when the United States imposed a grain embargo on the Soviet Union after the Soviet invasion of Afghanistan.
"The Japanese consumer has lost confidence in the entire beef industry, and that's the process we're dealing with," Doud said. "This is about restoring confidence in beef safety in Japan."
Industry divisiness
Both men were asked about the divisiveness within the beef industry.
Although he has been with the NCBA for less than two years, Doud said he learned about the divisiveness in the past, and hopes to be able to work through it for a more unified beef industry.
"I understand that, and there was a time when we had to give access to get access, but not anymore," he said.
"But, we can't be protectionist.
"That's what they have done in the Middle East, isolating themselves, and that is a failed business model."
Bullard said producers have been told without a thriving export market, the U.S. beef industry would suffer.
Recent events, he added, have disproved that argument and shown more focus is needed on domestic demand.
"BSE stopped our exports, and your prices stayed at historical highs," he said.