To the Editor:
I encourage every farmer and rancher to contact the US Senators and Congressman that represent us in Washington DC. Below are points that I recently made when I emailed our delegation.
I am writing to express concern regarding the current situation regarding cattle prices.
Our ranchers are being taken advantage of by the meat packers and there is nothing that the ranchers can do at this point except: (A) Continue on as they have been and watch as the financial ruin of their operation grows nearer with each passing day. (B) Contact you as well as the White House and hope that you take this issue seriously.
The issue of ranchers working 14 months to grow a baby calf into a 1,200 lb. yearling that is ready to become food for the American population is not only a laborious task but also one that requires sufficient capital. What is currently happening is that, after a rancher has spent approximately 400 days raising the animal, the yearlings are being sold from the rancher to a meat packer at approximately $1.00 per pound which is $1,200 for the entire animal. That fattened bovine will then be slaughtered within the following 30 days or so by the meat packer. What is being widely reported is that the meat packer, after owning the animal for approximately 1 month, will have a gross profit of $1,700-$1,900.
When you consider the fact that the following expenses are only a glimpse of the actual costs associated with raising a fattened yearling you may understand the devastating gravity of this situation: (A) Mother Cow (B) Bull (C) Both Land Cost and Taxes of Pasture and Crop Land (D) Diesel (E) Crop Seed (F) Fertilizer (G) Chemicals for Weed Management in Crops (H) Tractors (I) Planting Equipment (J) Harvesting Equipment (K) Crop Storage Facilities (L) Approximately 4 Vaccinations (M) Vitamins and Minerals (N) Labor Costs (O) Trucking to Livestock Sales Barn (P) Sales Barn Fees Such as Yardage and Consignment.
The fact that the packers have complete control over the price that they pay the rancher is uncalled for, immoral and on the verge of illegal. The rancher cannot hold onto the fattened animal indefinitely while hoping for an increased price as it will become too large at which point the packer will penalize the rancher due to the excess weight, a case of damned if you do and damned if you don’t.
I strongly urge you to take prompt action regarding this issue as, on a monthly basis, we are finding more and more ranchers at the financial point of no return.
Sincerely,
Leo Vilhauer, Leola
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