News

February 19, 2014

Support for the beef checkoff, at 78 percent, is the highest recorded in the past 21 years, according to a recent survey of 1,225 beef and dairy producers nationwide.

The random survey conducted by the independent firm Aspen Media & Market Research in late December 2013 and early January 2014 found an overwhelming majority of beef and dairy producers continue to say their beef checkoff has value for them in many ways:

Eight out of 10 producers say the beef checkoff has helped to contribute to a positive trend in beef demand.

71 percent of producers say the beef checkoff contributes to the profitability of their operations.

77 percent say the checkoff is there for them in a crisis.

79 percent say the checkoff represents their interests.

Two in three beef producers believe the checkoff is well managed.

“Despite being challenged by drought, critics of the checkoff and groups who would like to see us go out of business,” says Producer Communications Working Group (PCWG) Chair Jeanne Harland, “beef and dairy producers continue to see more in their Beef Checkoff Program than just paying for a few ads or a few promotions. I’m one of the eight out of 10 who believe the checkoff has helped to contribute to a positive trend in beef demand.

“The beef checkoff has, for nearly 28 years, served the beef industry with programs producers want and that is why we see the checkoff ‘as representing our interests’ according to the survey,” says Harland.

One of the key priorities of the working group which Harland chairs is to ‘increase the understanding of how the checkoff works how [it] benefits them and their role as stakeholders,’ she notes.

“It’s an increasingly competitive world and for beef producers to continue to succeed we have to be able to not only produce a safe, nutritious and sustainable product, we have to promote its benefits in this country and worldwide. We can only do this by working together through the beef checkoff,” she says.

OCT 14, 2013
While the lack of reports is leaving us blind about what’s going on across the country, business continues to be done and milk prices see another good month.
The government’s inability to agree on a budget is becoming more ridiculous. The politics involved in this whole situation are making the U.S the laughing stock of the world. Here we are, a democracy with elected officials who cannot work together and come up with a solution for the good of the nation. It is all tied up with party lines, special interest and the positioning for the next election.
Many citizens are furloughed, which is having a growing impact on various areas of the economy. Some goods and services are not being taken care of as usual. Imports and exports of various items and materials are virtually non-existent, resulting in increasing backlogs at shipyards. This has trickled down through many areas of the economy, not only here but the world. This is something that will not be cleared up overnight once a budget is finally adopted.
So far, there is little indication that exports of dairy products have been affected. It is difficult to get an accurate picture of this due to the inability of receiving government reports. If there are no factors that could hinder export demand of dairy products, the hindrance could come from the inability to ship it out as usual. The U.S. does not send a whole boat load of cheese or butter to one place. Products get put on a cargo ship along with other goods. If shipping to a particular country is slower due to reduced inspectors, which could slow the gathering of a full load, it will eventually slow all export movement. However, much of what is purchased for exports generally has a window of shipping time. When CWT agrees to assist in the exports of cheese and butter, it is generally states that it will be shipped over the duration of the next four to six months.
One issue within the dairy industry is the lack of reports. We have now plowed our way through half of the month of October without the value of any USDA reports. This leaves us blind as to what is going on across the country. Surveys are not being conducted, weekly regional reports are not being released, monthly reports are not being released, etc. Fortunately, the Federal Orders are keeping track of and releasing the weekly National Dairy Product Sales report, providing the industry with critical information for product pricing.
With all of this lack of information, business still needs to be done — and continues to be done. Trading on the CME spot market has been active, giving traders something to base their trading activity and price direction on. The recent strength in cheese prices has certainly been welcomed as it supports another good month of milk prices. Most of the pricing for October has already been factored in by the trade, with the October futures contract settling into […]