Nebraska Cattlemen’s group calls for DOJ investigation of packer practices
The Nebraska Cattlemen’s organization is asking the U.S. Department of Justice to investigate evidence of fraudulent business practices within the beef packing industry.
Executive vice president Pete McClymont tells Brownfield requesting a DOJ investigation is a significant move, but a necessary one, given the market’s response to the COVID-19 situation and windfall profits for beef packers.
“We want them to make money but, by gosh, we’re on the short end of the stick and we don’t see it changing,” McClymont says. “We’re going to take advantage of this situation and try to get policymakers—and anybody else within the bureaucracy of our government that has any effect of them—working with everybody in the beef supply chain to really improve it short-term and long-term.”
Nebraska Cattlemen is also asking that packers be required to purchase at least 50 percent of their weekly slaughter in the negotiated cash or negotiated grid market, within specific delivery windows.
“That provides some challenges on how we achieve that,” McClymont says. “But nonetheless, it shows the strong commitment from our board and our membership that we have to have a more vibrant cash negotiated market.”
Audio: Pete McClymont with Brownfield’s Ken Anderson