Cattle Raisers call on industry to address captive supply
issue before asking for government intervention

FORT WORTH, Texas, Feb. 1, 2002—Texas and Southwestern Cattle Raisers Association President John E. Dudley today announced opposition to proposed federal legislation that would create government mandates banning the ownership and control of cattle by packers. Citing a variety of concerns, Mr. Dudley called on Congress to delete the provision from the farm bill before it is eventually sent to President Bush for consideration. 

    “TSCRA believes that, while the Johnson amendment attempts to address problems cattle producers have with the effects of captive supply, the legislation would create many unintended consequences that could adversely impact cow/calf and stocker producers,” said Dudley. In the effort to find solutions to problems associated with captive supply that will not require government intervention, TSCRA will be working with cattle feeders, packers and other entities to find solutions to a problem that continues to plague the industry. “Captive supply pressures on the markets need to be addressed. We are hopeful that we in the industry can work harder to address them ourselves before calling for government involvement,” said Dudley. 

     Dudley also warned of unintended consequences that could arise from the interpretation of such legislation should it become law. “Sometimes, after a law is written and the court interprets it, the final product becomes a different thing than originally intended,” said Dudley. “New beef alliances and cooperatives are just now beginning to reward producers for producing certain carcass characteristics or verifying certain production practices that enhance the quality and safety of U.S. beef. We believe the Johnson amendment could jeopardize this progress through the legislation’s interpretation or enforcement. Looking to the future, we also must not enact laws that will stifle opportunities for new marketing systems to bring economic benefits to cow/calf and stocker producers,” said Dudley.

     Texas and Southwestern Cattle Raisers Association is a 125-year-old grass roots organization representing over 13,500 cattle producers who own or control approximately 1.7 million head of cattle on millions of acres of range and pastureland primarily in Texas and Oklahoma. TSCRA is an organization that offers unique services through its law enforcement and livestock inspection divisions. It also provides a strong, unified voice for producers and others concerned with legislation and regulation.

TSCRA-04-2002