Mandatory Livestock Price Reporting extension approved

Agribusiness

Extension approved

A short-term extension for Mandatory Livestock Price Reporting is approved by Congress. The deal was reached as part of a temporary stop-gap bill to keep the government open and allows time for potential reforms. The vote for extension happened as authorization of the mandatory price reports were about to expire.. and temporary funding was needed.

  The stop-gap bill gives Iowa Senator Chuck Grassley more time to add it long term. “We hope to, before the end of the year, get it on the ag livestock marketing bill. The livestock marketing bill will be extended for a three month extension,” Grassley said.

  That continuing resolution funding federal agencies gets more disaster assistance to agriculture as well. It provides $10 billion dollars in relief for losses incurred by farmers and ranchers in 2020and 2021. The National Farmers Union says it is good news for family farmers and ranchers, especially as they have faced hot-dry weather leading to severe crop and livestock losses.

Checkoff lawsuit

  Farmers against changes to the Beef Checkoff program will see a lawsuit move forward. The US District Court in Washington, D.C. ruled a lawsuit brought by independent ranchers who say the Checkoff threatens their livelihoods can proceed. The court’s opinion denied a motion to dismiss by the US Department of Agriculture, saying the rancher successfully alleged they have associational standing to challenge the USDA.

The challenge was made over amendments the USDA made to the Checkoff in September of 2020. The say it unlawfully amended the framework and funds speech harming independent producers. Normallythe beef checkoff collects a dollar per head each time a beef animal is sold. Half of that is collected by state beef councils.

A look at the markets

Starting off the week with a two sided trade according to market analyst Jamey Kohake:

“Started off a bit weaker in the overnight session, corn went back higher at times and settled a couple pennies lower overnight and here we’re back strong, sharply higher, 2-3-4 cents higher at times. Trending right back to the top side of the trading range. But other than that the dollar is weaker today we did see some follow through with some long money coming back in. But it still looks like we’re stuck in a trading range right now. Over to the beans position, still hearing very good yields right now and still would look for a little more downside pressure this week as the weather looks really good. Live cattle market still oversold along with the feeders seeing a little bit of a bounce in the fats. Key will be to hang onto these gains for a change and also maybe seeing if we can get better cash moving as packers remain in solid control of this market. Still making profits like nobody can believe. Over to the hogs, just some long liquidation a 1.20-1.30 lower on the nearby contracts, not much going on volume wise but kind of trying to fill that gap right now from last week when we got tired and see if that can stabilize tomorrow. But if we can do that, maybe turnaround Tuesday back to the upside.”

Colfax market

The Colfax sheep and goat auction on Saturday saw a sale of 414 head of sheep. Feeder lambs fetched the day’s high average price of $2.58 per pound, while fed lambs averaged $2.37 per pound. There were 123 head of goats at the auction.. saw a high average price ranging from $127.50 to $475 per head.

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