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NCBA, R-CALF, COOL, USDA (No Politics!)
R-CALF Urges Vilsack to Immediately Redress 3 USDA BLUNDERS
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<blockquote data-quote="Alberta farmer" data-source="post: 623971" data-attributes="member: 8978"><p>Oldtimer: They also showed how the export game really has not helped the Canadian cattleman. Pre-1989 Canada only supplied enough beef to meet the domestic market...actually we didn't supply enough, we were a net importer.</p><p>In 1994 the Canadian government scrapped the Crow freight rate which was basically a subsidy to the railroads to move grain to export position at below cost. The reason for eliminating it was to comply with NAFTA rules (the Crow rate was to be as long as the grass grows...and the water flows...like an Indian treaty, LOL.) Suddenly the Canadian prairies had a glut of grain that needed to find a home...that home became feedlots and hog barns. The expansion of the cow herd and hog herd was rapid!</p><p>Today the chickens come home to roost. The hog industry is ruined and the cow herd is in a hard liquidation phase. I suspect we are approaching domestic beef use only, fairly fast. Now this might sound like the only solution(and probably is) but there has been a lot of devastation to farmers along the way. Many people lost or will lose everything 3 or 4 generations took to build. Not pretty.</p><p>Tyson is already looking for a way out by selling to XL. I think Cargill will probably stick it out.</p><p>The XL situation is odd. This little company swallowing a giant. Where do they get the financing? I have heard it suggested that they are a front for JBS although don't know if there is any truth in that.</p></blockquote><p></p>
[QUOTE="Alberta farmer, post: 623971, member: 8978"] Oldtimer: They also showed how the export game really has not helped the Canadian cattleman. Pre-1989 Canada only supplied enough beef to meet the domestic market...actually we didn't supply enough, we were a net importer. In 1994 the Canadian government scrapped the Crow freight rate which was basically a subsidy to the railroads to move grain to export position at below cost. The reason for eliminating it was to comply with NAFTA rules (the Crow rate was to be as long as the grass grows...and the water flows...like an Indian treaty, LOL.) Suddenly the Canadian prairies had a glut of grain that needed to find a home...that home became feedlots and hog barns. The expansion of the cow herd and hog herd was rapid! Today the chickens come home to roost. The hog industry is ruined and the cow herd is in a hard liquidation phase. I suspect we are approaching domestic beef use only, fairly fast. Now this might sound like the only solution(and probably is) but there has been a lot of devastation to farmers along the way. Many people lost or will lose everything 3 or 4 generations took to build. Not pretty. Tyson is already looking for a way out by selling to XL. I think Cargill will probably stick it out. The XL situation is odd. This little company swallowing a giant. Where do they get the financing? I have heard it suggested that they are a front for JBS although don't know if there is any truth in that. [/QUOTE]
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NCBA, R-CALF, COOL, USDA (No Politics!)
R-CALF Urges Vilsack to Immediately Redress 3 USDA BLUNDERS
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