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

advertisements
   
   
   
   
   

Agricultural News


Organization for Competitve Markets Re-Calculates Damage from Cattle Market Manipulation

Thu, 10 Nov 2011 09:06:19 CST

Organization for Competitve Markets Re-Calculates Damage from Cattle Market Manipulation The following article is a response from the Organization for Competitive Markets regarding R-CALF USA's formal complaint against the USDA, GIPSA and the Commodity Futures Trade Commission. Click here for more on R-CALF USA's complaint and their statement earlier this week.


"The Organization for Competitive Markets (OCM) noted on Wednesday, November 09, 2011 that R-CALF USA erred in its calculation of estimated financial harm to cattle producers allegedly caused by an unexplained, sharp decline in cash cattle prices from Friday, Oct. 28 through Tuesday morning, November 1, 2011. The timing of the decline coincides with Agricultural Secretary Tom Vilsack's official announcement slashing key provisions from the proposed GIPSA Rule.


According to OCM President, Fred Stokes, "R-CALF underestimated the loss to cattle producers by calculating a per hundred weight loss rather than a loss per animal. The actual loss to cattle producers in one day of trading was between $3,169,400 to $5,645,120!" This figure is based upon an average of a 1300 lb animal.


The alleged manipulation drove down the cost of the cattle and resulted in the initiation of a buying spree by corporate purchases of 92,000 cattle at the much lower price. However, as soon as the corporate purchases ceased buying, the futures market unexplainably jumped the limit up causing the market to immediately recover.


OCM completely concurs with R-CALF that the U.S. Department of Justice, the U.S. Department of Agriculture (USDA) Grain Inspection, Packers and Stockyards Administration (GIPSA) and the commodity Futures Trading Commission (CFTC) must immediately conduct an investigation into this alleged manipulation.


In conclusion, Stokes further pointed out, "This is the type of action that the Proposed GIPSA rule sought to prevent which is why OCM is extremely upset that the USDA gutted the rule." The Organization for Competitive Markets was organized as a national public policy research organization that works together, across all commodities, towards the common purpose of returning its food and agricultural sector to supply-demand based competition. The organization has worked through policy, education and research to enable all producers of food and fiber, regardless of size, to be able to receive a fair price for their products from a fair, open and competitive marketplace."



   

 

WebReadyTM Powered by WireReady® NSI

 


Top Agricultural News

  • Oklahoma Youth Expo Sale of Champions Sale Order Available Here- Sale Set for 4 PM Friday  Fri, 17 Mar 2023 04:50:54 CDT
  • Rural Voters Dominated Vote to Defeat Recreational Marijuana March 7th  Fri, 10 Mar 2023 07:13:05 CST
  • Ron Hays Talks to Israeli Ag Tour Guide Colin Lotzof About the Miraclel of Ag in Israel  Wed, 22 Feb 2023 22:11:04 CST
  • OALP Members Experience First Hand View of Cutting Edge Drip Irrigation Technology as Israel Travel Ends  Wed, 22 Feb 2023 10:51:49 CST
  • OALP Members Get First Hand View of Cutting Edge Drip Irrigation Technology as Israel Travel Ends  Wed, 22 Feb 2023 10:50:10 CST
  • Oklahoma Ag Leadership Program Sees Fruit, Beef and Dairy Production North of the Sea of Galilee in Israel  Mon, 20 Feb 2023 21:56:02 CST
  • Oklahoma Ag Leadership Program Sees Diverse Farm Operations in Jordan River Valley of Israel  Sun, 19 Feb 2023 21:17:30 CST
  • Israeli Tour Guide Mark Kedem Talks About The Cultural Aspects of What Class XX of OALP is Experiencing   Sat, 18 Feb 2023 22:17:23 CST

  • More Headlines...

       

    Ron salutes our daily email sponsors!

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

    Search OklahomaFarmReport.com

    © 2008-2024 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.