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USDA Beef Initiatives & Marketing Programs . Craig Morris, Deputy Administrator Livestock and Seed Program. Beef Checkoff Program . Promoting beef through research and promotion activities. Beef Checkoff Program: Potential Changes. Adequately funded? $1 per head  $2 per head assessment

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usda beef initiatives marketing programs

USDA Beef Initiatives & Marketing Programs

Craig Morris, Deputy Administrator

Livestock and Seed Program

beef checkoff program
Beef Checkoff Program

Promoting beef through research and promotion activities

beef checkoff program potential changes
Beef Checkoff Program: Potential Changes
  • Adequately funded?
    • $1 per head $2 per head assessment
    • Congressional action required to amend
  • Simplify petition process to determine whether to hold referendum for continuing the Checkoff; to increase checkoff assessment in the future
beef checkoff program potential changes4
Beef Checkoff Program: Potential Changes
  • Eliminate charter date requirement for organizations to manage checkoff-funded programs
  • Enhance identity and role of Federation of State Beef Councils
  • Specifically promote U.S. born and raised beef?
country of origin labeling
Country of Origin Labeling

Provides consumers with information to make purchasing decisions

country of origin labeling6
Country of Origin Labeling
  • Covers muscle cuts and ground beef, lamb, pork; chicken; goat meat; fish and shellfish; fruits and vegetables; peanuts; macadamia nuts; pecans; ginseng
  • To be implemented Sept. 30, 2008
2008 farm bill amendments
2008 Farm Bill Amendments
  • Addition of chicken, goat meat, macadamia nuts, pecans, ginseng
  • Decrease of max penalty from $10,000 to $1,000
  • “U.S. origin” labeling
  • Labels for livestock from multiple countries of origin
  • Exemption of covered commodities derived from animals in the U.S. before July 15, 2008
cool what s next
COOL: What’s Next?
  • Fully implement 2002 & 2008 Farm Bills
  • Publish regulation for all covered commodities
  • Conduct outreach and implementation program for all covered commodities during fiscal year 2009
livestock mandatory reporting
Livestock Mandatory Reporting

Provides reliable data to enhance fair competition in a dynamic market

livestock mandatory reporting12
Livestock Mandatory Reporting
  • Enacted in 1999; first reports released April 2001
  • Expired Oct. 1, 2005
  • Reauthorized & amended Oct. 2006
  • Final rule published May 16, 2008; to take effect July 15
  • First reports to be released July 21
changes cattle reporting
Changes: Cattle Reporting
  • Separate reporting requirements for cows & bulls from steers & heifers
  • “Term of trade” modified between steers & heifers scheduled for delivery within 14 days and 15-30 days
  • Accounts for negotiated grid purchases
  • “White cow” included
changes boxed beef reporting
Changes: Boxed Beef Reporting
  • Includes frozen product
  • No product age limitations
  • 2,000 lb. minimum threshold for cow and bull boxed beef items
lmr coverage
LMR Coverage
  • Reporting required by about 48 beef plants (represents 7.7% of all Federally inspected cattle slaughter plants)
  • Published reports expected to cover 77% of slaughter cattle and 93% of boxed beef
2008 farm bill amendments16
2008 Farm Bill Amendments
  • USDA to develop and implement Web site improvements and user education within 1 yr. after sufficient funds appropriated
  • USDA to conduct study on effects of mandatory reporting of wholesale pork cuts
    • USDA authorized to collect information from packers
    • Report to Congress within 1 yr. after enactment
  • Appropriations for Web site enhancements and pork reporting study authorized
beef instrument grading
Beef Instrument Grading

Innovative technology to enhance beef carcass assessments

beef instrument grading18
Beef Instrument Grading
  • Utilize beef carcass factors to determine official quality and yield grades and certifying branded programs
    • Precise, accurate, uniform prediction equation developed from evaluating 1.2 million carcasses
  • Pilot project to be completed mid-July
    • Data from 9 plants in NE, KS, and TX
beef instrument grading19
Beef Instrument Grading
  • Beta tested alongside USDA meat graders
    • Override instrument evaluation if inconsistent with meat grader’s evaluation
  • USDA will analyze data for grader and instrument performance
    • Refine protocols for instrument operation and use
beef instrument grading20
Beef Instrument Grading
  • Expert panel will assess conformance of image-capture process
    • Scheduled to be completed Aug. 15
    • Analysis of override data to determine trends or biases within individual plant and across plants
  • Analysis to be presented to industry Sept. 2008
marketing claims
Marketing Claims

Common language to facilitate commerce/ differentiate value in market

marketing claims22
Marketing Claims
  • Naturally Raised Livestock
    • Regarding production: (proposed) no growth promotants or antibiotics; no mammalian or avian by-product in feed
    • Proposed standard Nov. 28, 2007
    • AMS analyzing over 44,000 comments
    • Final standard to be published fall 2008
marketing claims23
Marketing Claims
  • Meat Tenderness
    • Proposed standard Dec. 30, 2002
    • Topics:
      • Defining tenderness; threshold segregation among different species; objective or based on total quality management systems; application to entire carcass or middle meats
    • Input from academia, industry, government
      • Discussed at Reciprocal Meat Conference, FL, June 2008
    • Will begin drafting framework for claim
other initiatives
Other Initiatives
  • Cow Grade
    • To help determine market cow value
    • Classification system based on lean meat yield
    • Currently being researched and discussed with scientific experts and stakeholders
  • Yield Grade 4
    • To evaluate impact of gender, fatness, muscling, and weight on cutability of Yield Grade 4 beef carcasses
    • To increase value of commonly discounted carcasses
verifying marketing claims
Verifying Marketing Claims
  • Through USDA Process Verified Programs
    • Naturally Raised
    • Never Ever 3
      • No antibiotics, growth promotants, or animal by-products
    • Born and Raised in the USA
    • Grass-fed
    • Breed
process verified program
Process Verified Program
  • Audit-based
  • Individualized; company-specific
  • Utilized by 8 companies with multiple plants, nurseries, growers, and finishers in U.S. and abroad
beef purchases and contract provisions
Beef Purchases and Contract Provisions

Feeding the nation and ensuring humane treatment of animals

beef purchases
Beef Purchases
  • Procure beef and beef products for distribution to Federal food and nutrition programs
    • National School Lunch Program
  • FY 2008 to date: 88.3 million pounds valued at $132.6 million
  • FY 2007: 150 million pounds valued at $223.9 million
animal welfare meat purchase contracts
Animal Welfare: Meat Purchase Contracts
  • Currently, sub/contractors precluded from including meat derived from non-ambulatory, disabled animals in products for AMS
  • Not for food safety reasons
  • To ensure humane treatment
animal welfare meat purchase contracts30
Animal Welfare: Meat Purchase Contracts
  • Proposed additional provisions for product providers:
    • Animal welfare mission statement
    • Periodic training in humane handling
    • Written protocol to prohibit receipt of or having non-ambulatory cattle
animal welfare meat purchase contracts31
Animal Welfare: Meat Purchase Contracts
  • Proposed additional provisions for product providers:
    • Audit provisions of AMI’s “Recommended Animal Handling Guidelines and Audit Guide”
      • Seven core criteria; from time of arrival on premise to stunning
    • Frequency of audits
      • At least 4/yr
      • Performance-based
thank you
Thank You

Livestock and Seed Program

  • For additional information, visit http://www.ams.usda.gov/AMSv1.0/, commodity area livestock and seed
  • Craig.morris@usda.gov; 202-720-5705