COOL

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HDRider

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This is long, but worth the read...

From: https://www.facebook.com/meatladyOG/

"Demand US Beef."
"That's quite a set of milk bags on her."
"Now we know who dumb blonde jokes are written about."
"You are an embarassment to the cattle industry."
"You should find something else to do with your life."
"How much do the packers pay you to stay on your knees?"
"You are going down."
"I hope you starve."

What do these things have in common? A band of tyrannical cattleman and the cultural cancer plaguing the ag industry.

There is a video going around like wildfire. It seems convincing on the surface: demand US Beef. Farmers are struggling. We see this playing out.

But they are only telling the part of the story they want you to hear.

Here is the Paul Harvey version.

This group is called R-CALF USA.

mCOOL is their signature piece of regulation. Mandatory Country of Origin Labelling. They claim this legislation will immedaitely raise the value of America's cattle. They claim this legislations repeal is the cause of the cattle market crash. They sell a convincing narrative because it only addresses the PRICE side of the equation.

Every economic assessment begins with two principles: SUPPLY and DEMAND.

Supply is how much we have of something, demand is how much we are willing to pay for it. Consumption is how much of it we purchase. Beef demand is not people raging in the streets for protein, beef demand is the point consumers will pay for that good.

Now here is where things get interesting:

This bunch thinks cattle and beef are the same thing. They are not. They are related, they are linked together, but they are not the same.

Cattle are a commodity. Beef is a commodity. They are not the same commodity.

Now here is the Paul Harvey Story on mCOOL:

In the fall of 2010 the nation went through a horrific drought which lasted until 2013. This drought was the most severe the country had seen in some areas since the late 1890's, where in Texas they had more rainfall during the dustbowl than they did during these years.

During this time the cattle industry sold off herd inventories as there was no grass and no water to feed them. Texas lost 24% of its beef herd. Oklahoma 13%. Most producers sold off up to 90% of their herd to survive--- My family was one of the ones that sold nearly everything, and I remember my uncle having to pay $75 a roll for sage grass and greenbriar round bales to feed what we kept.

In those years we sold over 1.6 million head of cows from the national inventory---reducing our national herd size to the lowest levels since 1950.

During 2010-2013 prices languised for cattle, as we liquidated herds. But in 2013, when the culling was over----and packers started to have to go on the hunt for cattle---prices skyrocketed.

Remember we live in a supply based economy, how much you have of something determines its value. We didn't have very many cattle, they became worth more as a result.

We entered a period of rapid herd expansion during that period beginning in 2014. We kept heifers, kicked the bull out and ramped up production fast. And in the middle of 2015 supply reached an equilibirum. Prices returned to historic norms.

Now the R-CALF crowd will tell you that prices collapsed because of the repeal of COOL, which happened in the fall of 2015 too. Convenient timing. But they will never address what was happening on the supply side of the equation because it doesn't fit their boogeyman theory.

So why was COOL repealed?

mCOOL violated free trade agreements with Mexico and Canada---our biggest trade partners. I don't care what your politics are but the industry was facing a $1B fine, and the damage to those markets extends beyond cattle. I will not respond to how you feel about the WTO.

An economic analysis by an independent third party also found that COOL reduced consumer spending power by $1B over the period it was enforced, and cost packers (big and small) and further processors another $1B to implement. This same study was unable to prove that beef producers saw any benefit from COOL. No study has ever shown how mCOOL benefits the beef producer. Ever.

mCOOL was part of the 2002 and 2008 farm bills. So from 2002-2015 we had mCOOL and yet we only had good prices during the years 2013-2015. COOL was repealed by a Republican congress in 2015.

Conspiracy theories cloud facts, and I can't help you if you believe the government is out to get you AND yet you still lobby for government regulation. What you are hoping for is regulatory capture, where the government gives you value.

Country of origin labelling exist still, for producers and processors who want to market their beef that way. Don't you think if there was a premium in the market the free market would use that to their advantage? Like we have for every other consumer marketig platform?

Not sure if you haven't noticed but consumer buying has been broken in the last few weeks. The shrimp and catfish market prove that consumers don't care where their product comes from, just that it is available, safe and affordable.

This is where they start deflecting by decrying imports. 15% of the beef we consume is imported from primarily Mexico, Canada, Australia and New Zealand. Why? We are the largest consumer of ground beef in the world. 68% of all beef sold is ground beef. Why? It is affordable and priced similarly to pork and chicken in the meat case. But why are we importing? Because we don't produce enough lean trim, called 90s to blend with the usually ample amount of 50s (fat). We blend a percentage of lean trim with domestic product to keep American's eating ground beef. There is no conspiracy. it's just free trade.

Using Tomi Lahren and R-CALF's fear mongering about imports only drives down consumer confidence in beef. Furthering my point that R-CALF is only out for themselves. They claim to be promoting the independent cattleman--which is who I am. But I don't agree with them, and you dare to challenge their economic misrepresentation, what happens?

For some history, this group has repeatedly attacked me personally. They call my employer. They call the people for whom I contract write. They have whole threads about what they would do to my 'milk bags' and how stupid they think I am. They direct message people on Twitter that interact with me and threaten them and their businesses. They frequently tell me "I am going down" or that "I deserve to starve" or that "I am a disgrace to the industry."

This is the reality of who R-CALF USA is at their core. Their goal is to tear down the Beef Checkoff. Their goal is to tear down the beef packer. They believe truly they will be gifted a packing plant as part an anti-trust lawsuit. They have no respect for the food supply chain because they cannot see past their own back door.

But tell me someone, when was the last time that R-CALF had a win?

They lose consistently in court. They get sent to committee on the hill.

They claim collusion and bribery and government corruption. AND yet they stand before Congress and beg the government to regulate us into prosperity. Seems a little counterintuitive. If the government is at the heart of corruption----yet they beg for a government handout. They use an animal rights extremist attorney who works for a group whose goal is to end animal agriculture. This is well documented.

They believe everyone is out to get them. They never tell the whole truth, just the part that fits their narrative and they seek to destroy anyone who stands against them.

But Hanlon's Razor: "Never attribute to malice what can be attributed to stupidity" comes to mind. But if you are jumping on their bandwagon---just know who you are getting into bed with.
 
This was written by Kathryn Miller
Director of Sales Cheshire Pork
Fort Smith, Arkansas Area
 
I do not agree with her or any radical on the other side of her fight. I am not interested in radical behavior. The truth for American cattlemen are seen on calf and cow prices. Skip the politics and the source of your salary when anyone writes, and look at the whole. I just had some calls for wholes or halves. I checked on going prices. It is well worth my time to sell some direct at $3.50 to $5.00/lb HCW. The same animals would be sold for about (guess) $0.50/lb at a barn to be slaughtered in a day or two. Reality is an eye opener.

The deal with imports being needed is somewhat correct. Leg of lamb is a prime example. Most legs of lamb in a decent grocery store are imported. It was harvested from a 55 to 60 pound grassfed lamb in AU or NZ. They pay a premium there for the lighter weight lambs. Why can America not produce the lamb? The traditional breeds and the traditional US feedlots produce 140 pound finished lambs. They are too big. That's the way grandpa did it so the tradition continues. I'm not complaining as I can also easily produce and sell a lamb comparable to the grocery store "legs" without the feedlot or the tradition. I can do it cheaper and easier. But I am considered a nitch marketer to produce what folks want because the traditional system cannot respond, or will not. Go figure.

The virus taught us a lot of things: have a nest egg, prepare with food and needs and as a nation do not let things like drugs totally leave the country for the manufacturing process. We have battled that with my wife's health for years. Nobody knows what fillers are in the drugs because (true example) the ingredients are from India, sent to Hong Kong for processing and then sent to the USA with a list of unknowns. Also we have learned that many businesses are "fragile". Beef farmers and all farmers have known this for years. Lose some of the local folks, lose some infrastructure, lose some markets and farming can be kissed goodbye without costly expansions.

Give me a choice: a wrench made in China or the USA - I can decide. Food and drugs - I still want to decide. Why keep me from that choice? I think there is a lot of money going around at the top that keeps me from having that option. Put the blame where you want but clear the smoke, put the goons in jail and get things right. It has nothing to do with gender, shape, looks, name of your organization or color of your hair. Just the facts, mam.
 
I know we need COOL. The purpose of it is so that people can truly know where their meat and such are from and produced.

The only part that someone needs to figure out is what to do about our trading partners, Canada and Mexico. There are cattle that are born here in the US but are fed there and then brought back to the US for harvest. And yes, they also have cattle that were born and fed in their country but harvested in the US. Are we going to penalized our trading partners?

The biggest problem that we have to stop is the importation of beef from Brazil and other countries where they do not have the processing standards or quality of meat that is available here.

It seems that since this pandemic has came about and what we as beef and dairy producers have been saying for years is now beginning to open up the eyes of some in congress and especially the American consumer. With limited availability of processing and competition (only 4 major beef processing companies that control over 80% plus of the market) is wrong.

We need more localized USDA approved processing facilities and be able to as producers be able to sell more direct to consumers, grocery stores and restaurants (for those that have survived).

We have had a program that addresses this very problem and situation for a few years now. We have visited with grocery stores and others that are ready for it. We will have to do it in-house at the present time, but it is a program that will work and be an added-value program.
 
Cattle back and forth from Mexico or Canada could easily be "Product of Mexico and USA" or the other. The import without quality standards should be a total no-go.
 
Ebenezer said:
Cattle back and forth from Mexico or Canada could easily be "Product of Mexico and USA" or the other. The import without quality standards should be a total no-go.

That might just work.

And I agree that quality standards must be met!
 
cbcr said:
I know we need COOL. The purpose of it is so that people can truly know where their meat and such are from and produced.

The only part that someone needs to figure out is what to do about our trading partners, Canada and Mexico. There are cattle that are born here in the US but are fed there and then brought back to the US for harvest. And yes, they also have cattle that were born and fed in their country but harvested in the US. Are we going to penalized our trading partners?

The biggest problem that we have to stop is the importation of beef from Brazil and other countries where they do not have the processing standards or quality of meat that is available here.

It seems that since this pandemic has came about and what we as beef and dairy producers have been saying for years is now beginning to open up the eyes of some in congress and especially the American consumer. With limited availability of processing and competition (only 4 major beef processing companies that control over 80% plus of the market) is wrong.

We need more localized USDA approved processing facilities and be able to as producers be able to sell more direct to consumers, grocery stores and restaurants (for those that have survived).

We have had a program that addresses this very problem and situation for a few years now. We have visited with grocery stores and others that are ready for it. We will have to do it in-house at the present time, but it is a program that will work and be an added-value program.

How are we penalizing them if the USA requires it says Product of Mexico, or Product of Canada?
 
Ebenezer said:
Cattle back and forth from Mexico or Canada could easily be "Product of Mexico and USA" or the other. The import without quality standards should be a total no-go.

Good idea. The problem is not unsolvable. The problem is not wanting to solve it.
 
So as it sits currently, what are the label requirements for frozen cuts imported into the US from say Brazil, ready to go into the meat case with no further preparation? For this beef it would seem logical to label it as to country of origin. If you (the US in this case) take an imported product and fiddle with it in any way it would be logical that it just became a product of USA. And if I import oranges from California and turn them into orange juice, it just became a product of Canada.
 
Silver said:
So as it sits currently, what are the label requirements for frozen cuts imported into the US from say Brazil, ready to go into the meat case with no further preparation? For this beef it would seem logical to label it as to country of origin. If you (the US in this case) take an imported product and fiddle with it in any way it would be logical that it just became a product of USA. And if I import oranges from California and turn them into orange juice, it just became a product of Canada.
We are not fiddling. There is established trade of cattle across borders. Live cattle. Our state Vet gave several presentations of steers and spaded heifers and the huge movement from Mexico, using armed guards and fairly elaborate staged efforts on both sides, to move the cattle and then load and ship them to US locations to graze or finish. I'm sure the same happens in other places too. I did not realize the size and number involved until I saw the pictures.

You might like to think oranges were a product of Canada but you would be as deceived as the current laws allow. You could be honest and say "processed in Canada". I do not see why it is so hard for people to have simple phrases and to make them truthful. Oddly, we have a small grocery store in town that has beef in two sections of the cool case. One has a big sign over the top, "Product of Mexico". It is some cheaper. And I know how they can truthfully say that because they buy from a packer in the region that hauls in cattle from Mexico.

Honesty, the best policy. But not the most electable.
 
HDRider said:
Silver said:
Well Ebenezer, I can honestly say that doesn't make any sense.

What part did you not understand?

Did you think Canada grew oranges?

Perhaps you need to read up on the Substantial Change law a little bit. It basically says a product is product of the country in which it last underwent substantial change. And that makes sense. If I sell you a cow and you take it home and process it and package it and introduce listeria or some such to it and make people sick, it wouldn't be right to call the hamburger you sold as a product of my country. If I buy a maple tree from you and turn it into a violin, I would think it would be fair to call my violin a product of Canada.
So back to my original question.... Are finished product meat products that are imported into the US from say Brazil, and put in the meat case, how are they labeled? In this case to me they should say Product of Brazil. If they don't then I would agree that there needs to be a change in legislation.
 

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