Not first probe

Dear Editor,

We are quite surprised that AP is carrying a story that claims USDA is conducting an investigation without confirmation from USDA. Certainly, GIPSA is looking at industry structure and practices throughout agriculture. They have made no secret of this and are having public meetings nationwide. All of this may be found on the GIPSA web site. But to suggest without confirmation from USDA that an investigation is occurring is simply misleading in our opinion.

You'll note that the latest version of the AP story removes the reference to "first" investigation. If USDA were to conduct an investigation (which we do not believe they are), this would by no means be the first. In fact, dozens of studies and investigations have examined the meat industry's structure, marketing and procurement practices and they are detailed on the website www.themarketworks.org

These studies, including one done at GIPSA's request by the Research Triangle Institute, have found that the meat packing industry is dynamic and competitive.

When we highlighted these facts for AP today, they did agree to remove the word "first" from the headline and lead.

In the larger sense, it's ironic that there is a call for an investigation at a time when cattle prices are up 12 percent over last year and are predicted to go even higher.

Complaining about market conditions in the face of these facts is somewhat incredulous.

It's disappointing that your editorial failed to acknowledge a key quote in the AP report from Nebraska rancher Tom Hansen, a state senator from North Platte. The story paraphrased him saying that "the agreements allow for marketing schemes that have helped the beef industry -- enabling it to sell and market certain grades and types of beef, for example."

Janet Riley,

American Meat Institute

via e-mail