Balancing cattle market transparency legislation

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Balancing cattle market transparency legislation

The National Cattleman’s Beef Association is trying to push some movement on the negotiated trade conversation.

Lane tells Brownfield NCBA is working to gather producer opinions and convey to congress solutions to move the needle on cattle market transparency, so producers get the price discovery they need in the marketplace.  “Without getting to a point where we’re telling producers who like the way they’re marketing their cattle that they’re no longer allowed to do that,” he says.  “And it is a balance.  You go to Iowa or some places like that where they’re trading 60% of their cattle on cash, there’s no problem with a 50% mandate like Senator Grassley is proposing.  If you get into Texas or Kansas, or out in the West where I am from, and they don’t want a mandate there either because of the way they’re marketing their cattle through the systems.”

The trick is making sure they do not disincentivize the increase in quality they are seeing. “Those AMAs, or Alternative Marketing Arrangements, that have been the source of so much consternation in this price discovery conversation, really do have some value as far as increased quality,” he says.  “We’ve got to find a way to balance those two.”

Lane says they continue to work with Senator Fischer and Senator Grassley on their respective bills as well as other members of the senate who are trying to be helpful. There is also companion legislation to Fischer’s bill in the House sponsored by Vicky Hartzler of Missouri.