News Update
July 13, 2007

Consumer Report Poll Favors COOL

According to a recent Consumer Reports poll, 92% of consumers think imported foods should be labeled by their country of origin.

The poll also found that irradiated foods are not popular with consumers. However, foods labeled as natural or organic are seen as desirable. Consumers also reported they expect more from natural labels than current standards require. The majority of consumers (86%) said they expect the natural label to mean that processed food does not contain any artificial ingredients, though current standards only prohibit artificial colorings and additives.

The poll was conducted via telephone June 7-10. 

American Meat Institute (AMI) president J. Patrick Boyle responded to the results by saying the poll “underscores the value of the existing mandatory country-of-origin labeling (sometimes referred to as COL or COOL) rules for imported meat and poultry enforced by the U.S. Department of Agriculture.” His comments are available at http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=104&STORY=/www/story/07-11-2007/0004623805&EDATE.

Montana To Depopulate Quarantined Herd

The Board of Livestock sent orders Wednesday for the state of Montana to begin planning the depopulation of a herd of quarantined cattle, The Associated Press reports. The owners of the cattle and the federal government have yet to agree on a fair price.

Seven cows in the herd, owned by Jim and Sandy Morgan, tested positive for brucellosis (Bang’s disease) in May. This put Montana on a two-year probation during which any additional cases would result in the state losing its brucellosis-free status. Montana could also lose its status if the Morgans’ 600 head aren’t depopulated within 60 days of the brucellosis discovery.

With the July 17 deadline quickly approaching, the Board of Livestock ordered state officials to begin making depopulation arrangements if the Morgans and the U.S. Department of Agriculture’s (USDA’s) Animal and Plant Health Inspection Service (APHIS) don’t agree on a compensation price by midnight Friday. The Morgans rejected APHIS’s initial appraisal of their livestock. After commissioning their own appraisal, in which their cattle nearly doubled in value, they sent a counter offer to APHIS last Thursday.

The Morgans and several board members asked for more time to negotiate a deal on Wednesday. But board chairman Bill Hedstrom indicated he didn’t intend to overturn the board’s order. Hedstrom also had concerns that the quarantine “has not been effective” in recent days, referring to reports that several of the Morgans’ cattle had gotten into neighboring herds.

Brucellosis is a contagious disease that causes cows to abort. It was widely eradicated from livestock in the last century. However, recent outbreaks in Idaho and Wyoming have been traced back to elk herds in Yellowstone National Park, which many suspect was also the source of the Montana cases. 

Retail Food Prices Increase 4%

Retail food prices increased 4% during the second quarter of 2007, according to the American Farm Bureau Federation (AFBF) Marketbasket Survey. Of the 16 items in the market basket, 14 increased in price, one decreased and one remained the same.

Items that increased at a quicker rate than inflation include whole milk, sirloin tip roast, pork chops, ground chuck, whole fryers, apples, vegetable oil, bread, mayonnaise and regular eggs. Items that increased at a normal rate were cheddar cheese, flour, toasted oat cereal and corn oil. Russet potatoes decreased in price, and bacon remained constant.

“Consumers have no doubt noticed their food dollar stretched a little tighter lately,” AFBF Economist Jim Sartwelle said. “As energy costs have increased, it has become more expensive to process, package, and transport food items for retail sale. In addition, soaring demand overseas for U.S. dairy and meat products has reduced quantities available at home, resulting in retail price increases at the grocery store. ”

— compiled by Chelsea Good, Angus Productions Inc.