North Dakota Livestock To Increase Local Processing…Thanks Joe.

Seems the Biden administration is throwing money at the USDA to promote an increase in local livestock processing options.

Even the livestock are mooing and clucking about this story!

Joe, can I get processed in a way that better benefits the people that put in all the work to make me a great chicken?

You got it meat...let's get more processing done locally!

Even us Joe?

YUP!

It does seem like the Feds are at least throwing more money and more keen attention at the problem then we've seen for awhile.  I can read, and read, and read again, but I truly appreciate the thoughts of those that are in the troughs and fields raising livestock day in and day out.  I know if you're a producer, you don't have time to read an article talking about something you are already doing (day in and day out). Maybe someone could share it and you could reply when you had a minute.

But, I'm curious. It seems like the current USDA efforts are more geared towards supporting a wider marketplace and less of a consolidated monopoly on supply and pricing. But, I know it's one thing to throw out numbers, stick out your chest, and pledge your allegiance to the cow.  But is it going to TRULY help local marketing and fairer pricing for producers?

If got a few bits I'd like to share with you about the progression that's being laid out by the USDA.  Obviously, these will be self serving USDA statistics and projections. I'd only like to know if things are moving in the right direction. There's a link before every quote if you'd like to read the complete story/report.  I'd suggest you do.  Love to hear from y'all when you're done working tonight!

Production capacity...

Donald Rude, a rancher from northeastern North Dakota, said it is hard to make a profit when the markets are dominated by only a handful of operations.

"We're making, say, $1.20, $1.50, and they're selling the meat in store for, say, $6, $7 a pound," Rude explained. "I mean, that's a big gap. And their gobbling up all the profit is not fair to the consumer."

$500 million for expanded processing efforts

July 9, 2021 – Today, USDA is announcing it intends to make significant investments to expand processing capacity and increase competition in meat and poultry processing to make agricultural markets more accessible, fair, competitive, and resilient for American farmers and ranchers.

Expansion in inspection operations

“We are building capacity and increasing economic opportunity for small and midsized meat and poultry processors and producers across the country.” Secretary Tom Vilsack said. “

 

Here are the who/what of processors across the state

These establishments provide slaughter and/or processing services for producers, individuals that purchase livestock from producers or game animal owners. Custom products are labeled “Not For Sale” and may only be consumed by the owner of the animal. Many of these establishments also operate under a retail exemption, which allows them to purchase meat and poultry products from approved inspected sources (state or FSIS); further process them and then sell it at their retail counter.

That last link shows all the processors including the "not for sale" locations.

Overall it seems like things are moving in a positive direction- question is...will positive change actually happen?