Dorgan Introduces legislation To Restore Competition To Livestock Industry

DORGAN INTRODUCES LEGISLATION TO RESTORE COMPETITION TO LIVESTOCK INDUSTRY

U.S. Senator Byron Dorgan (D-ND) and a bipartisan group of Senate colleagues have introduced legislation to prevent large meat packers from using unfair tactics to drive down the price ranchers get for their cattle.

The heavy concentration in the meat packing industry allows large meat packers to build up an inventory and drive down the price ranchers get for their livestock, Dorgan said. In 2005, the four top meat packing firms accounted for 71 percent of all cattle slaughtered in the United States.

The bill Dorgan introduced along with Senators Chuck Grassley (R-IA), Tom Harkin (D-IA) and Mike Enzi (R-WY) would not allow meat packers to own, feed, or control livestock more than seven days before slaughter. That will help prevent packers from using their supply of animals to negotiate a lower price for livestock, Dorgan said.

"The big meat packers shouldn't be able to use their market muscle to tamper with the price of livestock," Dorgan said. "This bill will help ensure ranchers get a fair shake when they take their animals to market."

http://dorgan.senate.gov/newsroom/record.cfm?id=267667