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Agricultural News

UnCertainty Generated by the GIPSA Rule Process Will Impact Cattle Industry Decisions in 2011

Fri, 14 Jan 2011 6:54:59 CST

UnCertainty Generated by the GIPSA Rule Process Will Impact Cattle Industry Decisions in 2011

While the comment period for the GIPSA Rule on the marketing of livestock in the United States ended back in November, 2010- the unknowns about this rule will continue for quite some time. We talk about the uncertainty surrounding the cattle industry because we simply don't know what the outcome of this process will be with Glynn Tonsor of Kansas State on today's Beef Buzz.

There are several unknowns. One is that we don't know how seriously USDA will consider the several industry reviews of the proposed GIPSA Rule- and how those private looks at the rule will influence the final direction of the rule, as well as the cost basis analysis that USDA has indicated they are going to be doing. The second big unknown is how long this process will take. One industry watcher predicted late summer at the earliest for a "final" GIPSA rule- and potential litigation against the rule will almost certainly take the implementation well into 2012.

One fallout from the lack of clarity on where the industry is going with the GIPSA Rule now being considered in the courts is a reluctance by many cow calf producers from being willed to get aggressive in rebuilding our mama cow herds. More than one producer has told Tonsor they are not moving forward until they know how much regulation will be placed over the marketing of livestock from a final rule.

The Beef Buzz is a regular feature heard on radio stations around the state on the Radio Oklahoma Network- but is also 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.


Ron Hays Beef Buzzes with Glynn Tonsor on USDA's rule on the marketing of livestock.
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