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U.S.
Senator Member of the Agriculture, Energy and Veterans Affairs
Committees |
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For Immediate
Release April 15, 2005 |
CONTACT: Cody Wertz – Press Secretary 202-228-3630 Jen Clanahan – Deputy Press Secretary 303-455-7600 |
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| SEN. SALAZAR
INTROS LIMITS TO PACKER OWNERSHIP Washington, D.C. – United States Senators Ken Salazar and Chuck Grassley (R-IA) have introduced bipartisan legislation that will ban packer ownership and ensure market access for large and small cattle producers. Senator Salazar is the lead Democratic sponsor of the bill. The other co-sponsors includes Senators Dorgan (D-ND), Dayton (D-MN), Enzi (R-WY), Harkin (D-IA), Johnson (D-SD), and Thune (R-SD). “The market practices in place today, where our small ranchers are forced to sell their cattle herds into anti-competitive markets where they cannot earn sustainable profits, only serve to choke the breath out of rural communities from Colorado to Iowa,” said Senator Salazar. Currently, four meatpackers control over 80% of the beef market. This legislation will prohibit packers from owning, feeding or controlling livestock for more than seven business days prior to slaughter which will provide increased options for small farmers and ranchers to get fairer prices for their cattle. “We have a duty to ensure fair market access for all producers – big and small,” said Senator Salazar. “Placing this seven day limit on packers will enable our small farmers and ranchers to get fairer prices for their cattle.” Surveys done by the Colorado Department of Agriculture have cited steady declines in the number of cattle across the state. In fact, last year Colorado reported the lowest inventory of cattle since 1962. Furthermore, in 2002, 60 percent of farms and ranches in Colorado had annual sales of less than $10,000. “The facts show an industry that is being forgotten, withering on the vine,” said Salazar. “Small, independent ranchers in Colorado and across the country have faced several years of drought combined with increased concentration in the market, we have seen a declining farming and ranching population while the market power of large agribusinesses has dramatically increased – this must stop.” The packer ownership provisions were included in the Senate-passed version of the 2002 farm bill. Unfortunately, the House of Representatives strongly opposed this measure and it was not included in the final farm bill. That is why Senator Salazar joined with Senator Grassley to continue the fight for this important provision. Senator Salazar asked that the following statement be added to the record today. Regarding the Introduction of Legislation to Ban Packer Ownership Mr. President, I rise today
with my distinguished colleague from Iowa to introduce a very important
piece of legislation – legislation that will ban packer ownership. This
is not a new legislative initiative. In fact, it is legislation that
has been debated in Congress for many years. The years of debate and
delay have only made this proposal more essential. I am extremely concerned that such a market structure easily allows meatpackers to influence markets. Imagine how ranchers – in Iowa or Colorado or anywhere in this great country – are disadvantaged in such a marketplace. My family has ranched in the San Luis Valley and northern New Mexico for more than 400 hundred years. My family’s farm in the San Luis Valley has nurtured six generations of my family and continues to operate today. What I have seen in my home community is also occurring across the great state of Colorado. Surveys done by the Colorado Department of Agriculture have cited steady declines in the number of cattle across my state. In fact, last year my state reported the lowest inventory of cattle since 1962. Furthermore, in 2002, 60 percent of farms and ranchers in Colorado had annual sales of less than $10,000. These numbers show us an industry that is being forgotten, withering on the vine. Small, independent ranchers in Colorado and across the country have faced several years of drought . Combined with increased concentration in the market, we have seen a declining farming and ranching population while the market power of large agribusinesses has dramatically increased. That is why I rise today to introduce this bipartisan measure designed to ensure market access for all producers, big and small. Specifically, this legislation would modify the Packers and Stockyards Act to prohibit packers from owning, feeding or controlling livestock for more than 7 business days prior to slaughter. Our goal with this legislation is simple: check vertical integration, create open and competitive markets and ensure a place for independent producers in the marketplace. We must address this continuing concentration and we must allow all producers the chance to compete in the marketplace and increase their business. I am hopeful that my colleagues will join this bipartisan effort and stand up for small, independent producers across the country. I yield the floor.
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