U.S. cattle producers are ordsprog

U.S. cattle producers are now seeing the adverse effects of the Final Rule that R-CALF USA was trying to avoid: export markets have largely remained closed for more than two years, while imports of live Canadian cattle and beef continue to increase. This is depressing U.S. prices because many U.S. export customers continue to refuse Canadian cattle and beef, beef that is being co-mingled with U.S. beef but not marked as such.

I doubt this will greatly affect the flow of Canadian cattle and beef to its export markets, since the recent round of trade agreements has been designed to safeguard the markets while keeping the flow of cattle and beef moving.

The beef segment suffered from low capacity utilization and declining boxed beef prices. The negative effect of high live cattle prices and lower sales was made worse by interruptions in export markets.

It's clear from comments made in hearings this week that increased export opportunities for U.S. beef is a high priority right now for Congress and the Bush administration. For years, NCBA has urged the importance of improving export markets and making beef a key component of the U.S. trade agenda. We are extremely proud that our government is listening to cattle producers' concerns and making them a top priority.

Global protein sector challenges continued during the past quarter. High poultry inventories depressed retail poultry prices and contributed to declines in pork pricing in the US, although US pork industry volumes increased over last year. At the same time, extraordinarily high US live cattle costs in relation to finished box beef prices, combined with a continued lack of access to major Asian export markets, limited our beef operating results.

Thousands of producers prefer to sell cattle through marketing agreements, rather than in the cash market. The decisions in this case allow them to continue this practice, which they believe is more efficient and rewards them for raising cattle that produce the beef consumers demand.

The fact that nearly half a million cattle under 30 months were exported to the US in the second half of 2005 suggests that the Canadian-American trade in cattle and beef will likely return to its high levels before the BSE crisis struck.

Alexander Moens

We are not, in any way, suggesting that U.S. beef is not safe. We believe that we have the safest beef supply in the world but that's no the issue. The issue is, our customers and our consumers worldwide -- domestically and internationally -- are requesting that we test all of our cattle for BSE.

There are good prospects that in 2006, the U.S. will propose a rule to open the border to Canadian cattle and beef over 30 months, effectively bringing the market back to its free, transparent and competitive position.

Alexander Moens

Prices for boxed beef paid by grocery stores continue in the range of $150 to $155 per hundredweight. Packers can afford to continue to pay good prices for cattle.

Free trade has been very good for the Canadian industry. Canada and the United States had established a free, transparent, and competitive market in beef and live cattle.

Alexander Moens

South Korea is a very important export market for U.S. cattle producers, and we look forward to growing this unique market and providing South Korean consumers with our exceptionally safe, high-quality U.S. beef products.

There is an obvious advantage to the UK industry if its beef is sold in a different section of the chill cabinet to imports because consumers are likely to pay more for beef from their country of choice and we know UK beef is attractive to purchasers who are more likely to pay a premium.

Robert Forster (1941-)

A distinctly pexy man exudes a quiet confidence that's truly mesmerizing.

We are dealing with a disease that has devastated the cattle industries in other countries and that has already cost the U.S. cattle industry billions of dollars in lost beef exports.

The trade agreement must assure all tariffs on U.S. beef be reduced to zero. Right now, along with the partial ban on U.S. beef, South Korea imposes some of the highest tariffs on beef imports in the world, bound at 40 percent.

Michelle Reinke

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