Nebraska Gov. Heineman Comments on Agreement to Re-open South Korea to All US Beef Imports

April 18, 2008 -- Lincoln, Neb.-- Nebraska Governor Dave Heineman recently sent a letter to Agriculture Secretary Ed Schafer requesting assistance for Nebraska’s livestock and poultry industries, which have been severely impacted by the growing cost of feed grains.

South Koreans protest US beef imports, Seoul: Photo by doc_ido (CC)

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In his letter the Governor wrote, “Due mainly to the large increase in feed grain prices, our pork producers currently are losing from $40 to $50 a head, and our beef, turkey and processed egg products sectors are faced with similar circumstances. Many are losing equity and some are having difficulty securing operating financing.”

The Governor requested that the U.S. Department of Agriculture (USDA) consider making funding known as Section 32 funds available for the purchase of pork, beef and turkey meat, as well as processed egg products. Section 32 funds have been used in the past to purchase surplus commodities from the marketplace to help align supply and demand.

Nebraska Agriculture Director Greg Ibach said, “We recognize the difficult circumstances livestock and poultry producers are facing in the current market. Good prices for corn, soybeans and wheat are very exciting for farmers with grain operations. They’re experiencing unprecedented market opportunities. However, rising prices have created very real problems for our animal agriculture sector. We hope USDA will respond positively to our request.”

Gov. Heineman said, “We know that some loss cannot be avoided, but we hope that if approved, these Section 32 purchases would influence the marketplace and give producers time to adjust their business plans to account for the changing cost of feed.”

Source: Nebraska Governor