Mont. – Ninety-nine percent of voting R-CALF USA members – through utilization of a mail-in ballot – approved a new resolution brought forth from the group's marketing committee, which becomes organizational policy immediately.
The new policy states: “WHEREAS, open and competitive markets are extremely important to the prosperity and survival of independent cattle producers; WHEREAS formula pricing contracts effectively deny independent producers access to open and competitive markets; THEREFORE, BE IT RESOLVED that R-CALF USA adopt policy and aggressively pursue legislation that allows formula pricing contracts for slaughter cattle that only have a base price on the contract at the time of signing the contract. These contracts shall be available to any independent cattle producer.”
R-CALF USA Vice President/Region II Director Randy Stevenson noted the U.S. Department of Justice's Antitrust Division has a significant statement posted at:
http://www.usdoj.gov/atr/overview.html: “Competition provides businesses the opportunity to compete on price and quality, in an open market and on a level playing field, unhampered by anticompetitive restraints.”
“Captive supply arrangements create market circumstances that are neither open, nor level, nor competitive,” said Stevenson, who also co-chairs the group's marketing committee.