Ranch It Up Radio Show & Podcast - USDA Proposed Rules

Oct 18 2024 3 mins 2

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It’s the Ranch It Up Radio Show Herd It Here Weekly Report! A 3-minute look at cattle markets, reports, news info, or anything that has to do with those of us who live at the end of dirt roads. Join Jeff 'Tigger' Erhardt, the Boss Lady Rebecca Wanner aka 'BEC' by subscribing on your favorite podcasting app or on the Ranch It Up Radio Show YouTube Channel.

EPISODE 51 DETAILS
USDA Proposed Rules For Alternative Marketing Agreements For Fed Cattle

USDA Works For Fairer Fed Cattle Markets

During a Farmer and Ranchers in Action event at the White House on Oct. 8, Secretary of Agriculture Tom Vilsack announced several steps to create transparency and fairer trading in the cattle markets.

Vilsack said the new actions are part of the effort under the Packers & Stockyards Act of 1921 to enhance price discovery in cattle markets. The agency released a report showing unjust and anticompetitive pricing strategies that exist in today’s beef market.

For years, USDA has fielded complaints from producers around beef packers using reported regional cash or spot prices as base prices for fed cattle formula pricing agreements, commonly known as Alternative Marketing Agreements (AMAs).

The USDA reports this is especially prominent in the fed cattle market as the share of cattle purchased by beef packers using AMAs increased to more than 70 percent while the average share of cattle sold in the negotiated cash spot market fell below 20 percent nationally.

USDA is issuing an Advanced Notice of Proposed Rulemaking (ANPR) to seek comment on several possible interventions to develop new benchmarks as AMA base prices and approaches to trading when using benchmarks.

The public is invited to comment on this proposed rulemaking by visiting Regulations.gov and commenting on the “Price Discover and Competition in Markets for Fed Cattle”. Comments will close on Dec. 10, 2024. Read the whole article HERE