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Producers Can Have Input on Pork Mandatory Price Reporting

The provision in the Mandatory Price Reporting Act of 2010 that added pork to Mandatory Price Reporting system for hogs, sheep, cattle, beef and lamb also specified that USDA must use a "negotiated rulemaking" process that involves the affected parties in writing the proposed rule.

"The inclusion of such groups in drafting a proposed rule is not the usual process," says Steve Meyer, Paragon Economics, Adel, Iowa. "USDA (and most other federal departments and agencies for that matter) usually draft proposed rules internally and then allow affected groups to comment on those rules before publishing a final rule to govern how a given law will be enforced. Such was the case with the proposed rule from the Grain Inspection, Packers and Stockyards Administration.

"The pork industry groups that asked for pork to be included in the MPR system believed that the complexity of wholesale pork markets would be best served by up-front participation of the groups that know and understand those markets. Congress apparently agreed and here we are," says Meyer.

AMS has identified several organizations that it believes should be represented on the committee. They include:

• The National Pork Producers Council

• Chicago Mercantile Exchange

• Livestock Marketing Information Center

• General farm organizations

• Packer, processor and food marketing organizations

• AMS itself.

The announcement spells out the process to nominate organizations or individuals to serve on the committee which will have no more than 25 members. The announcement, can be found at http://www.access.gpo.gov/su_docs/ fedreg/a101124c.html #Agricultural%20Marketing%20Service

Result could look like beef

Meyer expects the pork system to look much like the beef system, which has been in operation since 2000.

Beef packers report prices and volumes daily for each cut sold and specify whether those cuts were sold domestically, to NAFTA countries or to other export markets. Those destination designations are one source of weekly beef export data which has been published since the MPR system started in 2000. Weekly pork export reporting was also added as part of this year's re-authorization.