KCA Directors Vote to Support Cattle Market Transparency Act of 2021
The KCA Board of Directors voted unanimously to support the recently introduced Cattle Market Transparency Act of 2021.
“We are excited to see the introduction of the Cattle Market Transparency Act. Kansas Cattlemen’s Association (KCA) looks forward to supporting this and similar legislation. The reestablishment of a legitimate, fair, and reliable market for cattle producers is critical to the longevity of our ranchers,” stated KCA President, Greg Davis.
U.S. Senators Deb Fischer (R-NE), a member of the Senate Agriculture Committee, and Ron Wyden (D-OR) introduced the bipartisan Cattle Market Transparency Act of 2021. The legislation will restore transparency and accountability in the cattle market by establishing regional cash minimums and equipping producers with more market information. Other cosponsors of the bill include Senators Cindy Hyde-Smith (R-MS) and Mike Braun (R-IN), and Congresswoman Vicky Hartzler (R-MO) is introducing companion legislation in the U.S. House of Representatives.
“I am reintroducing this bill with bipartisan support. It will help facilitate price discovery and provide cattle producers with the information they need to make informed marketing decisions. I am committed to working across the aisle to advance the bill forward this Congress,” said Senator Fischer.
Senator Fischer first introduced the Cattle Market Transparency Act in 2020.
The proposed legislation will:
1. Establish regional mandatory minimum thresholds of negotiated cash and negotiated grid trades to enable price discovery in cattle marketing regions. It will require the Secretary of Agriculture in consultation with the Chief Economist, to establish regionally sufficient levels of negotiated cash and negotiated grid trade, seek public comment on those levels, then implement.
2. Require USDA to create and maintain a publicly available library of marketing contracts between packers and producers in a manner that ensures confidentiality.
3. Prohibit the USDA from using confidentiality as a justification for not reporting and makes clear that USDA must report all LMR information, and they must do so in a manner that ensures confidentiality.
4. Mandate that a packer report to USDA the number of cattle scheduled to be delivered for slaughter each day for the next 14 days and require USDA to report this information daily.
“KCA has long supported improving and strengthening the Packers and Stockyards reporting requirements, and our membership recently adopted a policy in support of minimum negotiated trade. This bill is not perfect but is a significant step toward much needed federal involvement. We would like to see all U.S. Senators, including Senators Moran and Marshall, step up to defend, bolster, and fund the provisions of the Packers & Stockyards Act,” expressed Tyler Dupy, KCA Executive Director.
U.S. Senator Chuck Grassley (R-IA), along with colleagues of the senate: Jon Tester (D-MT) Joni Ernst (R-IA), John Hoeven (R-ND), Tina Smith (D-MN), Mike Rounds (R-SD), Ron Wyden (D-OR), Steve Daines (R-MT) and Cory Booker (D-NY) have reintroduced a bill to amend the Agricultural Marketing Act of 1946 to foster efficient markets and increase competition and transparency among packers that purchase livestock from producers.
The bill, commonly referred to as the 50/14 bill, will receive support from KCA as it works its way through the legislature.