Cowboys vs. Packers in Colorado... But Not Football - USDA, Department of Justice Hold Joint Antitrust and Livestock Competition Workshop
Release Date:
08/27/2010
Contact(s):
John Crabtree, johnc@cfra.org, Phone: (402) 687-2103 ext. 1010 or (563) 581-2867
FORT COLLINS, CO - The U.S. Department of Agriculture and the Department of Justice today held the fourth of five joint public workshops to explore the appropriate role for antitrust and regulatory enforcement in American agriculture. The workshop, led by Agriculture Secretary Tom Vilsack and U.S. Attorney General Eric Holder, examined competition in the livestock industry and featured panel discussions on trends in the livestock industry, market consolidation and market transparency.
Iowa Farmers Union President Chris Petersen served as a panelist at the historic public workshop. His panel addressed issues of buyer power, concentration in livestock markets, enforcement of the Packers and Stockyards Act and antitrust in the meatpacking sector as well as discussing the environmental impact of vertically-integrated, industrial livestock production, increasing packing and processing capacity in under-served areas, and fostering the next generation of America's family farmers and ranchers. The event was held at Colorado State University, the main ballroom of the Lory Student Center, 1101 Centre Avenue Mall, Fort Collins. Today's workshop is the fourth of five on competition issues in farming and ranching.
Petersen, who farms near Clear Lake, Iowa, represented both the Iowa Farmers Union and the Center for Rural Affairs with his comments and participation on the panel. He has been involved in production agriculture for 40 years. He and his wife Kristi maintain a 30-sow Berkshire herd on their farm near Clear Lake, Iowa, where they produce 400 pigs a year, all of which are sold locally or to niche pork companies because Petersen refuses to market his hogs directly to commodity pork packers. Petersen also raises vegetables for area restaurants as well as baling and selling hay commercially.
"What is being done to farming and ranching, and really, all of rural America today, is inexcusable and unacceptable. I came to Fort Collins to stand up and fight for family farmers, ranchers and our small cities and towns. I shared some thoughts with Attorney General Holder and Secretary Vilsack about what they can and should do to breathe some life, some competition, some fairness back into our livestock markets and give some hope to family farm and ranch livestock producers," said Petersen.
Today's workshops was the first to be held by the Department of Justice and the USDA to discuss competition and regulatory issues in the livestock industry since 1999.
"Given the consolidation that has taken place in the livestock industry over the past few decades, it is crucial to ensure a fair market still exists to give all players an honest chance at success," said Vilsack. "A fair and competitive marketplace is important not only for producers, but also for consumers, and today's open and transparent dialogue with ranchers, farmers, academics and other industry stakeholders will provide us with an understanding of the complex issues in this important industry."
"Ultimately, today's conversation is about much more than simply last year's trends or this year's challenges. It's about livelihoods, families, this region's economy and our centuries-old American way of life," said Holder. "We've made these workshops a cabinet-level priority so that we can most effectively and efficiently determine how to ensure a fairer, more competitive marketplace for producers and consumers alike."
Secretary Vilsack and Attorney General Holder began the workshop with opening remarks before leading a roundtable discussion, in which Christine Varney, Assistant Attorney General for the Antitrust Division, participated with other federal and state officials, on competition issues in agriculture and the livestock industry. Administration officials were joined by several federal and state leaders, including Colorado Governor Bill Ritter, Colorado Attorney General John Suthers, Montana Attorney General Steve Bullock, and U.S. Representative Betsy Markey, who represents the fourth Congressional district in Colorado and serves on the House Agriculture Committee.
After the roundtable discussion, a panel of farmers, ranchers and livestock feeders from throughout the country, including Chris Petersen of Iowa, shared their first-hand experiences and perspectives on the industry. USDA and Justice Department officials then listened to public testimony from audience members.
In the afternoon, another panel discussed trends in the livestock industry, including issues associated with contracting, price transparency and the effects of concentration. The final panel of various market participants discussed market structure issues in the livestock industry. There were several opportunities throughout the day for public testimony as well.
"Standing up to industry and stopping the headlong rush toward concentration and vertical integration in livestock production and packing is a long row to hoe, but crucial to revitalizing family farms and ranches across much of rural America. If Attorney General Holder and Secretary Vilsack continue to take up that challenge, family farmers, ranchers and rural communities will stand with them," said John Crabtree of the Center for Rural Affairs, who is also attending the workshop in Fort Collins.
According to Crabtree, the Center for Rural Affairs has and will continue to urge USDA to hold their ground and end the volume-based, "sweetheart" deals that packers routinely give to the nation's largest hog and cattle producers. "USDA has written a strong rule that will improve enforcement of the Packers and Stockyards Act and challenge the price discrimination against family farmers and ranchers that has driven tens of thousands of them out of the livestock business," concluded Crabtree.
Chris Petersen's testimony is available at www.cfra.org/competition. Videos and transcripts from today's workshop will be available for review at a later date on the Antitrust Division's website at www.justice.gov/atr/public/workshops/ag2010/index.htm#dates.
Petersen, who farms near Clear Lake, Iowa, represented both the Iowa Farmers Union and the Center for Rural Affairs with his comments and participation on the panel. He has been involved in production agriculture for 40 years. He and his wife Kristi maintain a 30-sow Berkshire herd on their farm near Clear Lake, Iowa, where they produce 400 pigs a year, all of which are sold locally or to niche pork companies because Petersen refuses to market his hogs directly to commodity pork packers. Petersen also raises vegetables for area restaurants as well as baling and selling hay commercially.
"What is being done to farming and ranching, and really, all of rural America today, is inexcusable and unacceptable. I came to Fort Collins to stand up and fight for family farmers, ranchers and our small cities and towns. I shared some thoughts with Attorney General Holder and Secretary Vilsack about what they can and should do to breathe some life, some competition, some fairness back into our livestock markets and give some hope to family farm and ranch livestock producers," said Petersen.
Today's workshops was the first to be held by the Department of Justice and the USDA to discuss competition and regulatory issues in the livestock industry since 1999.
"Given the consolidation that has taken place in the livestock industry over the past few decades, it is crucial to ensure a fair market still exists to give all players an honest chance at success," said Vilsack. "A fair and competitive marketplace is important not only for producers, but also for consumers, and today's open and transparent dialogue with ranchers, farmers, academics and other industry stakeholders will provide us with an understanding of the complex issues in this important industry."
"Ultimately, today's conversation is about much more than simply last year's trends or this year's challenges. It's about livelihoods, families, this region's economy and our centuries-old American way of life," said Holder. "We've made these workshops a cabinet-level priority so that we can most effectively and efficiently determine how to ensure a fairer, more competitive marketplace for producers and consumers alike."
Secretary Vilsack and Attorney General Holder began the workshop with opening remarks before leading a roundtable discussion, in which Christine Varney, Assistant Attorney General for the Antitrust Division, participated with other federal and state officials, on competition issues in agriculture and the livestock industry. Administration officials were joined by several federal and state leaders, including Colorado Governor Bill Ritter, Colorado Attorney General John Suthers, Montana Attorney General Steve Bullock, and U.S. Representative Betsy Markey, who represents the fourth Congressional district in Colorado and serves on the House Agriculture Committee.
After the roundtable discussion, a panel of farmers, ranchers and livestock feeders from throughout the country, including Chris Petersen of Iowa, shared their first-hand experiences and perspectives on the industry. USDA and Justice Department officials then listened to public testimony from audience members.
In the afternoon, another panel discussed trends in the livestock industry, including issues associated with contracting, price transparency and the effects of concentration. The final panel of various market participants discussed market structure issues in the livestock industry. There were several opportunities throughout the day for public testimony as well.
"Standing up to industry and stopping the headlong rush toward concentration and vertical integration in livestock production and packing is a long row to hoe, but crucial to revitalizing family farms and ranches across much of rural America. If Attorney General Holder and Secretary Vilsack continue to take up that challenge, family farmers, ranchers and rural communities will stand with them," said John Crabtree of the Center for Rural Affairs, who is also attending the workshop in Fort Collins.
According to Crabtree, the Center for Rural Affairs has and will continue to urge USDA to hold their ground and end the volume-based, "sweetheart" deals that packers routinely give to the nation's largest hog and cattle producers. "USDA has written a strong rule that will improve enforcement of the Packers and Stockyards Act and challenge the price discrimination against family farmers and ranchers that has driven tens of thousands of them out of the livestock business," concluded Crabtree.
Chris Petersen's testimony is available at www.cfra.org/competition. Videos and transcripts from today's workshop will be available for review at a later date on the Antitrust Division's website at www.justice.gov/atr/public/workshops/ag2010/index.htm#dates.
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