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BEEF'S COW CALF WEEKLY    October 16, 2009  |  A PENTON MEDIA PUBLICATION
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    Table Of Contents
> Larry King Is No Oprah, TIME Or New York Times
> My Unjustified Resentment Of The Dairy Industry
> Are Packing-Industry Economics Improving?
> 2009 Range Beef Cow Symposium Is Dec. 1-3
> A Winning Hand: 4NCGL in Reno
> AHA Launches Online Auction Site – BuyHereford.com
> BEEF Names Hollinger Cattle Co. 2009’s Top Stocker
> Beef Exports Hampered By Sluggish Variety Meat Demand
> Carefully Consider A Backgrounding Decision
> Circle A Feeders Is Repeat CAB Honors Winner
> Feds Propose Wild Horse Management Plan
> Angus Sale Info Now Available In One Click
> Gasoline, Diesel Prices Move Up For The Week
> HSUS Uses Religion To Reach Youth
> Horse Whinnies Are Packed With Information
> National Beef To Offer IPO
> Pat Goggins Named LMA Industry Icon
> Profitable Strategies To Highlight Cattlemen’s Update
> Redefining The Industry
> Restaurant Trade Still Sluggish
> SRMs Get Tyson Barred From Japan Market
> Taiwan On Verge Of Reopening To U.S. Beef
> Tips For Reducing Yucca In Rangeland
> USDA Petitioned To Declare STECs As Adulterant
> What Canada’s WTO Request Means
> Industry Needs To Unify & Get Serious On E. Coli

    Our Perspective
      Larry King Is No Oprah, TIME Or New York Times

To the surprise of many, the Larry King show this week that focused on E. coli and food safety – on the heels of damning articles in TIME magazine and the NY Times – was actually pretty fair and evenhanded. For one thing, the industry was allowed to state its case and its viewpoints were well articulated; historically, the industry has been ambushed and non-beef agendas pushed in these type of forums.

In truth, the statistics are impressive when one looks at the progress that’s been made to eliminate food-borne illness in this country, and particularly those caused by E. coli O157:H7. Conversely, everyone recognizes that still more needs to be done.

Yet, the one tool that could dramatically resolve the problem – irradiation – has been available for years and sits ignored on the shelf because of its unfortunate label. The packing industry, even cattlemen’s associations, have refused to push the technology in any big way. This is particularly surprising in the case of packers, who must go to bed at night in fear of an E. coli outbreak. But, they’re apparently just too concerned about the potential impact of the word “irradiation” on demand.

Not unexpectedly, reaction to the NY Times article has lead to the introduction of legislation. Sen. Kirsten Gillibrand (D-NY) introduced a bill that would require more sampling, called the E. coli eradication act, this week. No matter how well-intentioned, however, the harsh reality is that no amount of testing can eliminate E. coli. At the same time, however, any illness caused by our product is not acceptable, either.

The beef checkoff and the industry have invested millions in a monumental effort to develop legitimate solutions; the best and only true remedy waits on the shelf, proven safe and effective in decades and decades of research. Still, we must do more to fix this problem before a whole host of non-solutions are foisted on the industry to our detriment.
-- Troy Marshall



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      My Unjustified Resentment Of The Dairy Industry

I know the dairy industry plays a significant role in the beef industry, and I know that dairy producers share the same bond for animals as our beef industry. Still, when I look at the BSE cows, videos like the one at Hallmark, or contemplate the downer-cow problem, it’s hard to escape the fact that I'm looking largely at dairy cows.

I vividly remember the seemingly endless days of limit down when the government’s dairy buyout was announced in 1986. And a third dairy buyout – this one underwritten by industry – was announced in October.

I've always said that these later buyouts were different; they’re industry funded, so it’s a fair game. Still, economists have estimated that this buyout could lower cull-cow prices by as much as $3/cwt. or roughly $40/head. The timing, of course, is horrendous – the market is in a seasonal decline and in the midst of the heart of cull cow season. Could the timing have been any worse?

Yes, I know of the losses the dairy industry has suffered, and I know we have a lot of interests in common. But I can't help but feel that our relationship has been extremely one sided. Beef may be a byproduct of the dairy industry but I wish the dairy industry would embrace the fact that beef isn’t a sideline for us.
-- Troy Marshall

      Are Packing-Industry Economics Improving?

National Beef announced this week that it would seek an IPO. And, JBS earlier announced it would seek an offering to raise $2 billion but postponed the move due to uncertain economic times.

In addition, this week, JBS said the U.S. Department of Justice had okayed its intention to buy 64% of Pilgrim’s Pride.

Depending on your perspective, this may or may not be a good thing, but recent economic times have created opportunities. The trend towards consolidation has not stopped.
-- Troy Marshall



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      2009 Range Beef Cow Symposium Is Dec. 1-3

More than 30 speakers will address beef-production topics during the XXI Range Beef Cow Symposium (RBCS) Dec. 1-3 in Casper, WY.

“The RBCS is a great opportunity to listen to nationally recognized speakers on a wide variety of topics,” says Steve Paisley, University of Wyoming (UW) Cooperative Extension Service beef cattle specialist, one of the event organizers.

Set for the Casper Events Center, the RBCS features nine sessions over its three-day run. These include: industry issues, developing and managing beef females, selecting the “right” genetics with the future in mind, outlook for beef demand, enhancing selection decisions, range-management monitoring, adding value to the calf crop, management and nutrition, and an economic outlook. Info on program is available at www.rangebeefcow.com and www.uwyo.edu/rangebeefcow.

Initiated in 1969, RBCS is held every other year and is organized by animal science departments of Colorado State University, University of Nebraska-Lincoln, South Dakota State University and UW. The event rotates between the four states.
-- University of Wyoming

      A Winning Hand: 4NCGL in Reno

The Fourth National Conference on Grazing Lands, set for Dec. 13-16 at the Nugget Casino Resort in Reno-Sparks, NV, features presentations from producers and grazing-management experts for all species of livestock from across the country.

Sponsored by the Grazing Lands Coalition Initiative (GLCI) along with the Society for Range Management, the conference gets underway Dec. 13 with regional GLCI meetings in the afternoon and a trade show reception that evening.

Dec. 14, National GLCI Chair Bob Drake will offer introductory remarks, while USDA Secretary Tom Vilsack and Interior Secretary Ken Salazar have been invited to address the conference. Meanwhile, concurrent workshop session highlights include:
  • Missouri grazier and author Greg Judy discussing the benefits of holistic, high-density grazing;
  • University of Nebraska holistic grazing management specialist Terry Gompert, the power of stock density;
  • University forage specialists Don Ball and Garry Lacefield, forage management that beats the odds;
  • Animal behavior specialist Darrell Emmick, foraging behavior and diet selection in the grazing dairy cow;
  • Additionally, presentations on grazing with goats, focusing on legumes, rotational grazing management and much more are on the schedule.
And, an evening banquet on Dec. 14 features cowboy entertainer Dave Stamey. For more info or to register, visit www.glci.org
-- Kindra Gordon



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      AHA Launches Online Auction Site – BuyHereford.com

Producers looking to market or purchase elite Hereford genetics now have a new online resource – BuyHereford.com. The new marketing site gives Hereford breeders of any size operation the power to reach potential customers worldwide.

Via the site, American Hereford Association (AHA) members can consign females, bulls, steers, cow-calf pairs, donor dams, embryos, semen, picks of the herd or flush rights. Commercial female lots and groups of feeder calves can also be listed.

But offerings aren’t limited to Hereford genetics. Consignments can also include equipment such as chutes, trailers, show tack and equipment or feed supplies, AHA says.

The first BuyHereford.com online auction is set for Nov. 3 (8 a.m. to 8 p.m. EST). Other 2009 scheduled sale dates are Dec. 1 and Dec. 29.

To consign to the online auction or for more info, contact Joe Rickabaugh, AHA director of field management and seedstock marketing, at 816-842-3757 or any of the regional Hereford field staff. You can also visit BuyHereford.com/FAQ.html for information about the service, and BuyHereford.com/Contacts.html for contact info.
-- American Hereford Association

      BEEF Names Hollinger Cattle Co. 2009’s Top Stocker

Hollinger Cattle Co., Camden, AL, has been named the recipient of BEEF magazine’s 2009 National Stocker Award. An independent judging panel selected Hollinger Cattle Co., owned by Leo Hollinger, Jr. and his wife Jeannie, as the fourth recipient of the award developed by BEEF magazine and sponsored by Elanco Animal Health. The award annually recognizes stocker cattle operations that excel through improved efficiencies, innovation and management.

As the national winner, Hollinger Cattle Co. receives a $5,000 grand prize as well as recognition during the 2010 Cattle Industry Convention in San Antonio, TX. You can read more about the Hollingers at beefmagazine.com/natural-beef/1001-hollinger/.

Also recognized were G-Three Cattle Company, Uniontown, KS, owned by Gale and Darrel George (beefmagazine.com/natural-beef); and Thomas Cattle Buying Services, owned by Brad Etheridge, Williston, FL (beefmagazine.com/cattle-learning/). As runners-up the two operations each were awarded $1,000.

Background about previous award winners and additional information on the National Stocker Award are available at www.nationalstockeraward.com.
-- Lindsey Ruth



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      Beef Exports Hampered By Sluggish Variety Meat Demand

The overall decline in U.S. beef exports is largely attributable to a difficult global market for beef variety meat, says the U.S. Meat Export Federation (USMEF). January-August exports of U.S. beef variety meat have declined 20% in volume and 37% in value compared with the same period last year, while muscle cut exports have declined by 4% and 8% respectively, USMEF says.

Another major factor is that the top two destinations for U.S. beef – Mexico and Canada – are performing well below last year’s level. Beef exports to Mexico (201,970 metric tons or 445.3 million lbs. valued at $636.7 million) have fallen below last year’s pace by 28% in volume and 35% in value. Exports to Canada (96,676 metric tons or 213.1 million lbs. valued at $425.8 million) are lower by 12% and 17%, respectively. Partially offsetting these decreases was a 32% increase in beef exports to the combined Asian markets.

Beef exports to Japan are running 22% ahead of last year’s volume and have increased in value by 21%. Japan’s market potential continues to be hampered, however, by the 20-month age limitation imposed on U.S. beef. The Greater China region (plus Vietnam) is also performing exceptionally well this year, with exports to Vietnam increasing by 28% in volume and 41% in value and exports to Hong Kong rising by 121% and 81%, respectively.

U.S. beef exports to the Middle East have maintained a pace roughly equal to 2008, but the region is showing an increasing appetite for U.S. beef muscle cuts. While variety meat exports to the Middle East have declined by 11% in volume and 23% in value compared with last year, muscle cut exports to the region have nearly doubled in volume and increased by about one-third in value.

Beef exports to the Caribbean have increased 5% in volume and value over last year, with the Bahamas emerging as one of the region’s top destinations. Exports to the Bahamas have increased by 31% in volume and 24% in value.
-- USMEF release

    Carefully Consider A Backgrounding Decision

A drop in calf prices has some folks thinking about feeding their calves and selling the extra weight rather than marketing them this fall. But before you leap, a number of variables should be considered, says John Dhuyvetter, North Dakota State University (NDSU) Extension livestock specialist near Minot. Two to consider are feed costs and the anticipated marketing time.
-- Click on headline to read the rest of this NDSU news release



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    Circle A Feeders Is Repeat CAB Honors Winner

Circle A Feeders, Huntsville, MO, continues to rewrite Certified Angus Beef® (CAB®) records. From 2007 to 2008, during its inaugural year in the feeding business, Circle A posted an acceptance rate of 61.4% CAB and USDA Prime on 917 enrolled cattle, CAB says. During the current award year – June 2008 through May 2009 – the feedyard increased to 78.6% CAB and Prime on 1,285 head enrolled.
-- Click on headline to read the rest of this CAB release

      Feds Propose Wild Horse Management Plan

Interior Secretary Ken Salazar last week announced a proposal to create wild horse and burro preserves in the Midwest and East to help manage growing populations in the West.

“The current path of the wild horse and burro program isn’t sustainable for the animals, the environment or the taxpayer,” Salazar said in a letter outlining his proposals to Senate Majority Leader Harry Reid and eight other key members of Congress with jurisdiction over wild horse issues.

In four decades under Bureau of Land Management (BLM) protection, wild horses that were fast disappearing from the American scene have returned to rapid growth. “As wild horses have no natural predators and herds grow quickly,” Salazar said in his letter, “more than 33,000 wild horses live in 10 western states. Unfortunately, arid western lands and watersheds can’t support a population this large without significant damage to the environment.”

BLM works to achieve an ecological balance on the range by removing thousands of wild horses and burros from public rangelands each year and then offering them for adoption. Unadopted animals are cared for in short-term corrals and long-term pastures. With the sharp decline in wild horse adoptions in recent years because of the economic downturn, BLM now maintains 32,000 wild horses and burros in holding, including more than 9,500 in expensive short-term corrals.

In FY 2008, the cost of holding and caring for these animals exceeded $27 million – or three-fourths of the FY 2008 enacted funding level of $36.2 million for the entire wild horse and burro program. In FY 2009, which ended Sept. 30, holding costs were $29 million, or about 70% of the total 2009 enacted wild horse and burro program budget of $40.6 million.

A key element of Salazar’s plan, designed to address concerns raised by the Senate Appropriations Committee and the Government Accountability Office, would designate a new set of wild horse preserves across the nation. Citing limits on forage and water in the West because of persistent drought and wildfire, Salazar said the lands acquired by BLM and/or its partners “would provide excellent opportunities to celebrate the historic significance of wild horses, showcase these animals to the American public, and serve as natural assets that support local tourism and economic activity.” The wild horse herds placed in these preserves would be non-reproducing.

Go to www.doi.gov/LettertoHarryReidon.pdf to view the letter. For more on the national wild horse and burro program, visit www.blm.gov.
-- Department of Interior release

      Angus Sale Info Now Available In One Click

Producers can now easily access Angus sale reports, a list of upcoming registered Angus sales and online breeder sale books by visiting www.angus.org. Featured prominently on the American Angus Association®’s (AAA) website, producers can gain easy access to finding and purchasing Angus cattle.

“We’ve simply put the information we’ve provided for years in a user-friendly, easily accessible format to assist both members and nonmembers in conducting business,” says Eric Grant, director of AAA communications and public relations.

Angus producers can view sale reports from sales attended by AAA reps, including prices paid for individual lots, gross numbers and average prices for sale offerings. The sale book option features Angus Production Inc.’s flip-through sale book feature for upcoming Angus sales, and the upcoming sales listing posts sales by date. Visit www.angus.org.
-- American Angus Association

      Gasoline, Diesel Prices Move Up For The Week

The U.S. average price for regular gasoline increased for the first time (week ending Oct. 12) since the week of Aug. 10, 2009. Meanwhile, the national average price of diesel fuel increased for the first time in six weeks, moving up 2¢ to $2.60/gal., or $1.06 less than last year.

Although regular gasoline at retail rose 2¢ to $2.49, the national average remained 66¢ below the year-ago price. Regionally, the East Coast remained flat at $2.41, while the Midwest jumped 8¢ to $2.44, and the Gulf Coast 3¢ to $2.32. The Rocky Mountains slipped 2¢ to $2.48, and the West Coast and California plunged 5¢ to $2.90 and $3.02, respectively.

Diesel for the week was up 2¢ on both the East Coast and Midwest to $2.61 and $2.58/gal., respectively. The Gulf Coast was up 1¢ to $2.53, the Rocky Mountains up .5¢ to $2.65, and the West Coast gained 1¢ to $2.73. California was unchanged at $2.79.
-- U.S. Energy Information Administration

      HSUS Uses Religion To Reach Youth

The Humane Society of the U.S. (HSUS) “All Creatures” nationwide music tour will hit more than 35 clubs and Christian Universities across the nation before wrapping up the first week in November. Christine Gutleben, director of the HSUS faith outreach program, will accompany the tour and speak to audiences about HSUS.

The faith outreach program seeks to engage people and institutions of faith with animal-protection issues on the premise that religious values call upon us to act in a kind and merciful way toward all creatures, HSUS says.
-- HSUS release

    Horse Whinnies Are Packed With Information

Via their whinnies, horses convey specific info about their identities, including sex, height and weight, say French researchers. Acoustic analyses of whinnies and horses’ reactions to various recorded whinnies also suggest the vocal calls play an important social role and are unique to each horse.
-- Click on headline to read the rest of this story by www.thehorse.com

      National Beef To Offer IPO

National Beef Packing Co. LLC plans to conduct a public stock offering that could generate $300 million. In its Securities and Exchange Commission filing this week, the firm said it plans to go public as National Beef Inc. and intends to apply to have its common stock listed on the New York Stock Exchange as NBP.

National Beef is a Kansas City, MO-based firm owned primarily by U.S. Premium Beef LLC, a member-owned beef marketing cooperative that supplies National Beef, the nation’s fourth-largest beef processor, with 20% of its raw product needs, reports the Kansas City Star.

National Beef has operations in Liberal, Dodge City and Kansas City, KS; Brawley, CA; Hummels Wharf, PA; Moultrie, GA, and St. Joseph, MO.
-- Media reports

      Pat Goggins Named LMA Industry Icon

Patrick K. Goggins has been named the inaugural recipient of the Livestock Marketing Association’s (LMA) Industry Icon Award. Recognized for his “grand impact” on LMA and the betterment of the livestock market and marketing industry, the presentation was made recently at Public Auction Yards (PAYS) in Billings, MT, one of Goggins’ three Montana markets.

Goggins served on the LMA Board from 1994-2006 and as president from 2001-2002. He bought PAYS in the early 1960s, followed by Billings Livestock Commission Company in 1983 and most recently, Western Livestock Auction, in Great Falls. In addition, he owns Northern Livestock Video Auction in Billings, and conducted the first-ever video auction in the early 1970s. He also originated the first ring scale in the U.S.

Goggins has been a stalwart and vocal advocate of the auction-based, competitive livestock marketing system, LMA says. And, he’s had a national platform for his views, as the veteran publisher and weekly columnist for the Western Livestock Reporter and Agri-News – two papers he recently combined into the Western Ag Reporter.

Goggins was born in 1930 in California, but his family moved to Montana in the mid 1930s. His professional career began in the newspaper business, eventually landing him an advertising sales job at the Western Livestock Reporter, where he taught himself to be an auctioneer.

In 1965, Goggins purchased the Vermilion Ranch east of Billings, and built it into a nationally-known, registered Angus operation. He helped found the annual Northern International Livestock Exposition (NILE) in Billings, was NILE’s first president and a board member for almost 15 years. He and his wife Babe will celebrate their 58th anniversary in December.
-- LMA news release

      Profitable Strategies To Highlight Cattlemen’s Update

The University of Nevada Cooperative Extension’s (UNCE) annual Cattleman's Update is set to run Jan. 4-8 in various Nevada communities and through interactive video. Ron Torell, UNCE livestock specialist, says the info will help Nevada ranchers remain successful in "a global market currently experiencing turbulent economic times.”

Featured speaker for the three-hour workshops will be USDA animal scientist Tom Geary, who will discuss nutritional and reproductive management of beef cows. In addition, UNCE veterinarian David Thain will discuss animal health strategies for beef cattle, and UNCE beef specialist Ben Bruce will discuss range management strategies that help boost profits. Ron Torell, UNCE livestock specialist, will discuss management strategies of beef cows that pay and adhere to the standards of the Beef Quality Assurance (BQA) program. Current issues affecting the beef industry in Nevada also will be discussed.

Meeting dates, times and locations include:
  • Jan. 4, 10 a.m. – Washoe County Extension Office, Reno; with interactive video sites at Extension offices in Eureka, Caliente, Tonopah, Logandale and Lovelock, as well as Klamath Falls, OR. All sites are tentative. Call for verification at 775-784-1377.
  • Jan. 4, 6 p.m. – Multipurpose Building, Fallon.
  • Jan. 5, 5 p.m. – White Pine County Convention Center, Ely.
  • Jan. 6, 12:30 p.m. – Elko Convention Center, Elko.
  • Jan. 7, 10:30 a.m. – Humboldt County Extension Office, Winnemucca
  • Jan. 8, 10 a.m. – Wellington Community Hall, Wellington.
A $20/ranch registration fee at the door includes a “Red Book” and refreshments. For more info, contact Torell at 775-738-1721 or torellr@unce.unr.edu; David Thain at 775-784-1377; or Ben Bruce at 775-784-1624.
-- University of Nevada Extension

    Redefining The Industry

America's beef cattle industry has conjured up many male macho images in its long history. Think The Marlboro Man or John Wayne. Yet it's also been notable for having women in its leadership ranks. This is in part a reflection of cattle ranching, where husband and wife are often business partners.
-- Click on headline to read the rest of this article by Steve Kay

      Restaurant Trade Still Sluggish

One sector that will have to improve before meat demand in general, and beef and chicken demand in particular, bounce back is restaurants. But, according to the monthly Restaurant Performance Index from the National Restaurant Association (NRA), that’s not happening yet.

The August index fell 0.2% from July and now stands at 97.9. Index numbers below 100 indicate contraction while those over 100 would indicate expansion. The index has been below 100 since October 2007 and bottomed at 96.4 last December. Four months of gains ended in May and the index has moved more-or-less sideways since that time.

The Restaurant Performance Index is actually a combination of two indexes – the Current Situation Index and the Expectations Index. The Current Situation Index stood at only 96.0 in August, down 0.9% from July. That drop, the largest in nearly a year, was driven by deteriorating sales and traffic, according to NRA.

The percentage of operators reporting same-store sales growth from August 2008 to August 2009 was only 17%, the lowest figure in the seven-year history of the index. The Expectation Index measures operator’s six-month outlook for major industry indicators. It gained 0.5% in August and stands at its highest level since April at 99.9%.

NRA’s monthly Performance Index report can be found at www.restaurant.org/pdfs/research/index/200908.pdf.
-- CME Group Oct. 9 Daily Livestock Report

      SRMs Get Tyson Barred From Japan Market

Japanese inspectors discovered bovine spinal columns in one of more than 700 boxes delivered in September by Tyson Fresh Meats Inc., Japanese government officials said. The 35 lbs. of chilled loins with spinal bones weren’t released commercially, and the suspension only involves the Tyson plant in Lexington, NE., one of 46 meatpacking plants officially sanctioned to export beef to Japan, the Associated Press reports. The Japanese ministry also called on USDA to investigate how the banned beef products, also known as specified risk materials, made it into the shipment.

Japan allows only U.S. beef products from cattle younger than 20 months of age for import, and only with the brain, skull, eyes, trigeminal ganglia, spinal cord, vertebral column, dorsal root ganglia, tonsils and distal ileum removed.

The Japan Times reports there have been 13 U.S. violations of the bilateral beef import protocol since the resumption of U.S. beef imports to Japan in July 2006. The recent incident was reported within the same week U.S. trade officials requested the full removal of the current import protocol.
-- japantines.com

      Taiwan On Verge Of Reopening To U.S. Beef

Taiwanese President Ma Ying-jeou said this week that the U.S. and Taiwan are “very close to an understanding” over resumption of all beef imports from the U.S. Later in the week, however, Vice Premier Eric Chu pledged that consumers' health will be safeguarded, and the government would demand that retailers sell U.S. beef in special sections. Chu said Taiwan's market reopening for U.S. beef products would not be larger than that of South Korea. South Korea currently allows only boneless meat products from cattle less than 30 months of age.
--straittimes

    Tips For Reducing Yucca In Rangeland

Yucca plants, called soapweed by some, have nearly overrun many rangelands, particularly lately after several years in which drought plus grazing weakened many plants, says Bruce Anderson, University of Nebraska Extension forage specialist. And, dense stands of yucca, a plant that can develop rapidly once established on drier rangeland sites, can devastate grass production, he says.
-- Click on headline to read the rest of this story by Bruce Anderson, University of Nebraska forage specialist

      USDA Petitioned To Declare STECs As Adulterant

Lawyers have filed a petition with USDA’s Food Safety & Inspection Service (FSIS) on the E. coli issue. The 470-page petition, filed by the Seattle-based law firm Marler Clark, asserts that all Shiga toxin-producing E. coli (STEC), not just E. coli O157:H7, should be declared as adulterants under the Federal Meat Inspection Act (FMIA).

The petition states that not to do so, “ignores the grave dangers that scientific and medical research demonstrates...” and puts “the safety of American consumers at risk.” Marler Clark represents victims of food-borne illness throughout U.S.

Adulterants under the FMIA are defined as impurities that aren’t tolerated. Under FMIA, FSIS declared E. coli O157:H7 an adulterant 15 years ago following the 1993 Jack in the Box outbreak in which more than 600 consumers became infected with E.coli O157:H7 and four children died.

The petition cites one study showing that non-O157 STEC is prevalent in U.S. beef production at rates as high as 70%. It also claims the Centers for Disease Control estimates that non-O157 STEC causes an estimated 36,700 illnesses, 1,100 hospitalizations and 30 deaths annually. Marler Clark filed the petition along with several of the firm’s clients whose family members have been injured or killed by non-O157 E. coli serotypes.
-- Food Safety News

      What Canada’s WTO Request Means

When Canada launched its “official” World Trade Organization (WTO) complaint against mandatory country of origin labeling (COOL), its objection dealt specifically with the regulations regarding labels on meat products which they claim in a press release to be “. . . so onerous that they affect the ability of our cattle and hog exporters to compete fairly in the U.S market.” USDA Secretary Tom Vilsack and U.S. Trade Representative Ron Kirk responded that they “…believe that our implementation of COOL provides information to consumer in a manner consistent with our [WTO] commitments.”

An interesting point in the U.S. press release is this: “Countries have agreed since long before the existence of the WTO that country of origin labeling is a legitimate policy. It is common for other countries to require that goods be labeled as to their origin.”

That statement is true. But the real issue is in the debate over the U.S. mandatory COOL law is the definition of “origin.” The past labeling to which Vilsack and Kirk refer generally applied to the country of final manufacture or the country of “substantial transformation.”

A television manufactured in Japan using parts from China, Taiwan and Korea was labeled “Product of Japan” not “Product of Japan, China, Taiwan and Korea.” The mandatory COOL law has no such requirement. With the exception of cattle that are sometimes transshipped through Canada on their way to the continental U.S. from Hawaii, if an animal has ever spent time outside of the U.S., product from that animal must carry the other country’s name on its label, even if most of its body weight was added in the U.S. or the final processing is done in the U.S.

And that is the issue that the WTO panel must decide: Is this new, broader concept of origin legitimate under world trade rules?
-- CME Group Daily Livestock Report

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    Cow-Calf Weekly Mailbag
      Industry Needs To Unify & Get Serious On E. Coli

I found Troy Marshall’s Oct. 9 piece, “Not A Knockout Punch But A Wobbler For Sure,” a discussion on the New York Times article on E. coli in ground beef, to be well written; it directly pointed out the deficiencies in the food-inspection system. But will this be enough encouragement to bring the livestock industry together in a united effort to cause change or will it result in just more business as usual?

Between food production, processing and preparation, it would appear to me that the production end stands to suffer the most with any decline in demand due to food-safety fears. The cattle industry needs to unite on this challenge and do what’s best for consumers and the survival of the industry.

If this article doesn’t generate a grassroots campaign to change food inspection at every level involving every local and state livestock association, who is going to be responsible for the failure? Our food-inspection system, once considered the class of the world, is now in shambles due to overlapping agencies ruled by bureaucrats unwilling and unable to enforce routine regulations. Compound that with incompetent inspectors and we have a system destined to fail.

Why is a public utility such as a gas company allowed to evacuate and shut down a building because of a potential threat, but a serious violator in the food sector is given a warning and allowed to continue in business? We need a get-tough policy. Processors who operate with more consideration toward profit and who don’t follow their own written rules need to be shut down.

Our current bureaucracy-riddled system ensures that none of this will occur. We need people willing to make and defend decisions; if the industry doesn’t take the lead and demand a modernization and accountability of food inspection with one single agency in charge from national to local, can the industry survive long term?
-- Don Cobb DVM , Casper, WY



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