Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211


Beef Buzz News

Two Producers, Two Points Of View At The Senate Agriculture Committee Hearing On Cattle Prices

Thu, 24 Jun 2021 10:38:49 CDT

Two Producers, Two Points Of View At The Senate Agriculture Committee Hearing On Cattle Prices On Wednesday, the Senate Agriculture Committee held an official hearing on market transparency and the need to fix the markets. Two cattle producers, two market economists, and one social engineer were involved, totaling five witnesses who presented to the senators. Several senators “testified” as well, sharing their points of view during time they were allocated for questions.

Of the two producers present, the first lead off witness was from the U.S. Cattlemen’s Association, Justin Tupper, who said there has to be more cash market price discovery.

We need the government to step and help make that a reality, he added.

“We are losing our producers at an alarming rate,” Tupper said, “all the while watching big corporate feeders and packers make record profits with the threat of vertical integration hanging over our heads.”

Tupper said there is not enough transparency in the market place and there is not enough competition among those who are wanting to buy cattle from feedlots and cattle producers.

In his auctioneering experience he has learned the most important participant in true price discovery is the second bidder, he said.

He followed up saying in fed cattle market encounters, there is not even a second bidder present.

The second cattle producer to testify was Mark Gardiner of Gardiner Angus Ranch in Ashland, Kansas. He is also an original participant in U.S. Premium Beef.

Gardiner offers the viewpoint that this is all about economics – supply and demand.

“Today, we have too many cattle and too little processing capacity,” he said. “We have a volatile market place created by outside, unavoidable factors.”

Gardiner believes the market place is solving the problem, but it will take time.

The solution for all of this very complicated, Gardiner said. Processors are adding capacity due to the demand for high quality beef, and adding this capacity will simply take time.

The question for us to answer in the meantime is ‘how much damage will regulations do to the marketplace by artificially manipulating the pricing mechanisms?’

Gardiner believes experience tells us the consequences of the aforementioned actions can create longer lasting havoc and even greater volatility to our industry.

The two producers disagreed as to whether or not Uncle Sam should step in and mandate how cattle should be marketed, but they did agree we need to renew the Livestock Mandatory Price Reporting rule and that additional price discovery and transparency would be beneficial for the marketplace.

An interesting perspective Tupper offered late in the hearing related to the concept of confidentiality.

One of the current problems with the Livestock Mandatory Price Reporting rule is that in many areas of the United States, there are not enough market participants to allow the USDA to publish some of the data they have received.

Tupper says this has to end.

“If there is not enough participants in the market, we cannot report it,” he said. “The trouble with that is, in a fat cattle market today… if somebody is bidding $1.26, which I got texted this morning, everybody in the industry knows it.”

Tupper then claimed the confidentiality rule that is fallen back on, the 3/70/20 Guideline, does not fit for the industry.

Every time he goes to the USDA, Tupper said he gets “shot backwards” because he “threw up all over confidentiality,” but that is one of big things. They just cannot fit it all in there, he added.

This means the USDA gets more information than they can publish under confidentiality rules. Tupper said this needs to change when the Livestock Mandatory Price Reporting rule is rewritten.

You can review all of the written testimony submitted for the hearing and check out the video of the entire hearing by clicking here.

Click on the LISTEN BAR below to hear more from the Senate Ag Committee hearing.

The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today’s show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.

right-click to download mp3


WebReadyTM Powered by WireReady® NSI


Beef News

  • NCBA's Josh White Says Beef Quality Assurance Produces Better Beef  Mon, 20 Sep 2021 10:35:46 CDT
  • Certified Angus Beef Program is a Win for Producers, Processors and Consumers Says John Stika  Fri, 17 Sep 2021 10:48:26 CDT
  • John Stika Believes the Pandemic Shows Consumers Want High Quality Beef  Thu, 16 Sep 2021 08:07:17 CDT
  • Dr. Jody Wade's Advice to Cattle Producers is Stay Ahead of BRD  Wed, 15 Sep 2021 13:14:02 CDT
  • Katelyn McCullock Sees High Hay Prices in the U.S.  Tue, 14 Sep 2021 10:49:50 CDT
  • NCBA's Ethan Lane Believes mCOOL is Old News  Mon, 13 Sep 2021 11:15:37 CDT
  • NCBA's Ethan Lane Heard Little New in White House Briefing on Competition  Fri, 10 Sep 2021 11:45:17 CDT
  • Dan Halstrom Predicts 2021 Will Be a Record Year for U.S. Beef Exports  Thu, 09 Sep 2021 11:15:04 CDT
  • Dietician Shalene McNeill Says Consumers Enthusiastic About Including Beef in Their Diet  Wed, 08 Sep 2021 09:25:33 CDT
  • Shalene McNeill on Why You Should Feed Your Baby Beef  Tue, 07 Sep 2021 12:20:07 CDT
  • Randy Blach Says Sustainability is an Opportunity for Beef Cattle Industry  Mon, 06 Sep 2021 05:00:35 CDT
  • Although Beef Demand is High, Dollars are Slow to Trickle Down to Producers  Fri, 03 Sep 2021 12:25:25 CDT
  • Dr. Harold Newcomb Says Strategic Deworming Helps Your Bottom Line  Thu, 02 Sep 2021 09:33:31 CDT
  • Carbon Markets: The Wild West of Free-Market Enterprise  Wed, 01 Sep 2021 10:38:53 CDT
  • Biden Administration Intent on Dumping Trump Era Navigable Waters Protection Rule  Tue, 31 Aug 2021 16:57:44 CDT
  • NCBA's Scott Yager Says Redefining WOTUS Will Be Repetitive  Mon, 30 Aug 2021 11:18:40 CDT
  • Mark Your Calendars for the Second Annual Cattlemen's Congress  Fri, 27 Aug 2021 11:46:50 CDT
  • More From NCBA's Kent Bacus on Why Beef Exports to China, Japan and Korea Work  Thu, 26 Aug 2021 11:36:51 CDT
  • U.S. Beef is Bustling in the Pacific Rim Says NCBA's Kent Bacus  Wed, 25 Aug 2021 08:32:01 CDT
  • Bruce Hoffman Talks Treating Bovine Respiratory Disease  Tue, 24 Aug 2021 09:29:20 CDT
  • OSU's Derrell Peel Says August Cattle on Feed Report Shows Tighter Cattle Supplies Ahead  Mon, 23 Aug 2021 13:24:14 CDT
  • Randy Blach Believes Better Quality Cattle Brings Great Eating Experience to Consumers  Fri, 20 Aug 2021 09:17:27 CDT
  • Dan Halstrom: There are Concerns Despite High Exports of Beef and Pork  Thu, 19 Aug 2021 10:42:01 CDT
  • U.S. Beef. It's What's for Dinner, Globally  Wed, 18 Aug 2021 10:23:41 CDT
  • NCBA Continues Work With Members and Congress in Improving Market Transparency and Cash Cattle Trade  Tue, 17 Aug 2021 10:29:42 CDT
  • Ethan Lane Says All Eyes are on Transfer Taxes  Mon, 16 Aug 2021 09:34:18 CDT
  • Scott Yager on What New Methane Measurements Mean for the Cattle Industry  Fri, 13 Aug 2021 10:05:46 CDT
  • CattleFax VP Kevin Good Says Cattle Market Leverage is Moving Toward Producers  Thu, 12 Aug 2021 09:20:34 CDT
  • NCBA's Danielle Beck on How the Biden Administration Plans on Funding Their Goals for the U.S.  Wed, 11 Aug 2021 09:53:56 CDT
  • NCBA President Jerry Bohn Talks How the Biden Administration Could Impact Beef Producers  Tue, 10 Aug 2021 11:36:01 CDT
  • Oklahoma National Stockyards President Kelli Payne Talks Resiliency Amid the Coronavirus Pandemic  Mon, 09 Aug 2021 21:39:00 CDT
  • Oklahoma National Stockyards President Kelli Payne Talks Resiliency Amid the Coronavirus Pandemic  Mon, 09 Aug 2021 10:36:15 CDT
  • Cattle Selling This Month at The Big Event at Express Ranches are the Best of the Best  Fri, 06 Aug 2021 13:53:58 CDT
  • American National Cattle Women: The Cattle Industry’s Boots on the Ground  Thu, 05 Aug 2021 17:14:35 CDT
  • Clay Burtrum Talks Beef Checkoff Efforts Ahead of the 2021 Cattle Industry Convention  Wed, 04 Aug 2021 20:06:59 CDT


    Beef Buzz Archives

    Old Archives  |   2010  |   2011  |   2012  |   2013  |   2014  |   2015  |   2016  |   2017  |   2018  |   2019  |   2020  |   Jan 21  |   Feb 21  |   Mar 21  |   Apr 21  |   May 21  |   Jun 21  |   Jul 21  |   Aug 21  |   Sep 21  |   Oct 21  |   Nov 21  |   Dec 21

    Ron salutes our daily email sponsors!

    Oklahoma Beef council Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit Ag Mediation Program P&K Equipment Tulsa Farm Show Union Mutual Stillwater Milling Oklahoma Cattlemen's Association KIS FUTURES, INC.


    Search OklahomaFarmReport.com

    © 2008-2021 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.