News Update

News Update
June 7, 2006

R-CALF to appeal Canadian border decision

After first indicating that it would accept the decision by a federal judge denying its suit against the U.S. Department of Agriculture (USDA) over the rule that reopened the Canadian border to the import of live cattle under 30 months of age, Ranchers-Cattlemen’s Action Legal Fund United Stockgrowers of America (R-CALF USA) has decided to lodge an appeal with the 9th Circuit Court of Appeals, Steve Hisey reported on meatingplace.com.

The cattle rancher group contends that it has never received a hearing on the facts of the case, and that it deserves such a full hearing. Decisions by the 9th Circuit and District Judge Richard Cebull have focused only on their finding that USDA should be shown deference in its scientific decisions, the article continued.

R-CALF contends that the rule was more political than scientific, and that the decision entails a threat to the health of the U.S. cattle herd.

“We’re hoping the 9th Circuit will remand the case back down to Judge Cebull so he can make a decision on the merits of the case,” said Chuck Kiker, R-CALF president.

The appeal was filed with Cebull’s U.S. District Court, District of Montana on Monday. R-CALF lawyers say it will take at least a few months to find out if the 9th Circuit will hear the appeal, the meatingplace.com article said.

Farm groups differ on estate tax repeal

Don’t look for a full repeal of the estate tax. A growing number of lawmakers are suggesting scaling back the tax may be more politically viable, Tom Stever reported on brownfieldnetwork.com. The Senate this week is expected to take up the issue of permanent repeal. The American Farm Bureau Federation (AFBF) and National Cattlemen’s Beef Association (NCBA) have long supported forever doing away with what they call the “death tax.”

The House has already approved full repeal. But in May, Iowa Republican Senator Chuck Grassley said the votes for permanent repeal just aren’t there, the article continued. Others echo that belief, and some of those senators are considering other options, including an alternative that would reduce the tax.

The National Farmers Union (NFU) is one of the groups advocating reform other than an outright repeal. “I think it’s shortsighted,” NFU President Tom Buis says of permanent repeal. “Farmers have been used in this debate to basically get something that the nation’s billionaires want, and that’s not to have to pass on some of the good fortune they’ve had in making a lot of money here in America.”

Buis does, however, advocate raising exemptions to $4 million per individual and $8 million per couple.

Momentum on the issue has already been undercut by spending for the war in Iraq and Hurricane Katrina, the brownfieldnetwork.com article continued. A key question now is whether supporters of death tax repeal can put together enough votes on a measure that would sharply cut the tax but not completely eliminate it.

Johanns announces trade and investment mission to East Africa

Agriculture Secretary Mike Johanns today invited U.S. agribusiness firms to participate in a Trade and Investment Mission to the East Africa region in late fall 2006.

“I’m confident this mission will help advance our goals to reduce trade barriers and increase trade between the United States and East Africa, creating new job opportunities for all our citizens,” Johanns said.

The goal of the mission is to promote U.S.-Africa agribusiness cooperation, trade and investment, particularly in the dry grocery products, food processing, beer and spirits, seafood, livestock genetics, and production inputs and equipment sectors.

For businesses interested in participating on the East Africa Region Trade and Investment Mission, contact Darrell Upshaw with USDA’s Foreign Agricultural Service at (202) 690-1786, or send an e-mail to darrell.upshaw@fas.usda.gov.

— compiled by Meghan Richey, assistant editor, Angus Productions Inc.