Explain this please

[HDRider]

I believe we need to stop all import of foreign goods possible, and be prepared for the consequences on the export side. You gotta break a egg to make a omelette.

In what universe does government regs keep business small??? I'm sorry but that's just a ridiculous idea. The most regulated business s in the country are the biggest and most monopolist. Untill they get regulated enough they become government departments.
I think ag needs more competition that's for sure.
I also reckon the big Packers have already figured out how to exploit this. And we won't be free to do anything about it because it's a regulation.

Their economies of scale make the regulations more affordable to the giants. They spread their cost over a larger basis.
Small businesses cannot afford to comply.

That's exactly right

Back to what I said, and I guess you misunderstood "Regulations are what built these mega processors", megas grew up as new regs were put in place, and saw how putting more regs in inhibited small companies.

Since small businesses can't afford to comply, all we are left with now are mostly the megas.

 

[bball]

This is a complex problem with many facets. It will take several interventions if we ever hope to balance the disparity between producer and packers. Govt regulations are a necessary evil because they are supposed to maintain marketbalance and protect the public. Unfortunately, that is not the case and has not been for sometime. Managing foreign import of agriculture products is an important factor as well. Additionally, educating people and breaking the cycle of expectation that food is something that should always be cheap while we spend big money on throw away products and technology. That is a tall, tall order. It will require breaking several dozen eggs to make this omelette edible and I'm just not sure our nation is ready or willing to do it. A previous post nailed the problem with cattle producers in USA; we have no real leverage or buying power. Then consider the fact , and CT proves this daily, producers are generally a group of hard headed, independent, autonomous type people. Meanwhile the big 4 have BIG money, global influence, and in most cases govt backing(actively or passively). Some argue there is a need for low grade protein we see imported to make the hamburgs and tacos that sell at fast food, and the American(and Canadian) producer is producing a higher quality beef that meets a different market need. I understand the position, just not sure if it's accurate anymore.

 

[callmefence]

Their economies of scale make the regulations more affordable to the giants. They spread their cost over a larger basis.
Small businesses cannot afford to comply.

That's exactly right

Back to what I said, and I guess you misunderstood "Regulations are what built these mega processors", megas grew up as new regs were put in place, and saw how putting more regs in inhibited small companies.

Since small businesses can't afford to comply, all we are left with now are mostly the megas.

I guess I misunderstood. You said without regulations every business would grow to one giant corporation.

 

[HDRider]

I believe we need to stop all import of foreign goods possible, and be prepared for the consequences on the export side. You gotta break a egg to make a omelette.

In what universe does government regs keep business small??? I'm sorry but that's just a ridiculous idea. The most regulated business s in the country are the biggest and most monopolist. Untill they get regulated enough they become government departments.
I think ag needs more competition that's for sure.
I also reckon the big Packers have already figured out how to exploit this. And we won't be free to do anything about it because it's a regulation.

https://data.worldbank.org/indicator/NE.EXP.GNFS.ZS

The US exports less than most realize

Exports as a percent of GDP
US 12%
China 20%
Brazil 15%
Germany 47%
Japan 18%
Australia 22%
Canada 32%
Saudi Arabia 40%
Sweden 46%
.
.
.

Kinda looks like we got the hammer........

We have a giant hammer. Exports numbers are not our hammer. Our hammer is our military, most especially our navy. No one comes close to controlling free flow of products like we do. Without us protecting shipping lanes trade ceases. We do this for free to other countries, but it is costing you and I a lot, in a number of ways.

Peter Zeihan really explains the world very well and how we dominate.
https://www.youtube.com/watch?v=ygrurjeTfTU

 

[HDRider]

That's exactly right

Back to what I said, and I guess you misunderstood "Regulations are what built these mega processors", megas grew up as new regs were put in place, and saw how putting more regs in inhibited small companies.

Since small businesses can't afford to comply, all we are left with now are mostly the megas.

I guess I misunderstood. You said without regulations every business would grow to one giant corporation.

It was poorly worded.

 

[sstterry]

Do we want this? I do

Should I email my representatives? I have

You need to call. A letter is better than an email, but from what I've read a phone call is best.

A call is always better and they do keep a tally. On the State level, 10 phone calls to your Representative is a flood to them. Elected officials do pay attention, particularly if the calls do not originate from the same location or household. As long as it is not a partisan issue, calls do make a difference. Emails and letters count, but not nearly as much as a call. The person answering the phone will report them to someone above them and that person will report the assimilated call count to, normally, the chief of staff.

If you get called on a poll, then it makes a big difference because they all look at polls.

The biggest impact can be if you know someone that works in the Offical's local field office or better yet in Washington (or your State Capitol). Personal contact with someone you know ensures that the message will get conveyed.

 

[Stocker Steve]

There have been new processing plants opening up in the beef world, including several in the Dakotas. Gabe Brown is involved with one focused on direct marketed grass fed. After several bankruptcies, I believe a new commodity one is now operating in Aberdeen. There are more.

The major underlying issues seem to be capital to fund the start up, and finding local people that are willing to do the work. I had a local processor pick up refugee butcher hogs today and he commented that he is almost booked up for 2020, but he did not think his kids wanted to grow nor continue the business...

 

[Stocker Steve]

Have to give Peter Zeihan credit for making bold predictions. Obviously the timing of when is even a bigger challenge. I have learned that you do not need to be extremely smart to make solid predictions - - but you do need a keen sense of where you are and what are the patterns.

The obvious beef business question of the moment is what keeps it from going the way of hogs?

 

[Brute 23]

We picked up another packing plant in South Texas that had been shut down. This is the new owners first experience in that arena but it's going well and he has the means to expand in a big way. Not sure if he will be part of the problem or the solution but it will put another player in the game.

 

[HDRider]

We picked up another packing plant in South Texas that had been shut down. This is the new owners first experience in that arena but it's going well and he has the means to expand in a big way. Not sure if he will be part of the problem or the solution but it will put another player in the game.

That is what we need, and we need them to succeed, prosper.