RICHMOND—A federal plan to allow an additional 300,000 metric tons of imported ground beef into the U.S. market is drawing concern from farm leaders who say short-term efforts to lower grocery prices could create long-term damage for cattle farmers and the nation’s food supply.
American Farm Bureau Federation President Zippy Duvall said the proposal would come as the U.S. already is importing beef at record levels. He warned the added volume would represent nearly a 60% increase in imports over the next 90 days, further pressuring U.S. cattle markets impacted by resumption of Mexican cattle imports and the recent closure of several large, domestic beef processing plants.
“Further undercutting a fragile recovery by swamping markets with foreign products and attempting to manipulate prices threatens to wipe out any progress that has been made,” Duvall said.
Virginia’s cattle producers understand the pressure families face from higher grocery costs, said Virginia Farm Bureau Federation President Scott Sink. However, he continued, increasing imports does not address the supply challenges contributing to those prices or strengthen the domestic cattle industry.
“Increasing beef imports without addressing the underlying challenges facing the U.S. cattle industry is not a long-term solution,” Sink said. “Strong cattle prices are providing much-needed stability and giving producers an opportunity to rebuild their herds. Policies that create uncertainty or artificially pressure cattle prices could undermine that progress and make it more difficult for farmers to invest in the future.”
Beef cattle are raised in every Virginia county, with approximately 575,000 head statewide. The Virginia Beef Industry Council notes the average Virginia herd size is just 30 head. Sink said this underscores how many small, family-operated farms would be affected by policies that disrupt cattle markets.
In a recent letter to the U.S. Department of Agriculture, Virginia Gov. Abigail Spanberger voiced opposition to suspending tariffs on foreign-produced beef to be sold at 25% below the market rate.
“This handout to foreign competitors has already caused a negative reaction in cattle markets,” she wrote, “while providing no guarantee of retail price relief for consumers.”
Both state and national Farm Bureau leaders warned that greater reliance on foreign beef could create more vulnerability in the food supply chain. Duvall said dependence on foreign-grown food could ultimately lead to higher costs and greater reliance on other nations for food security.
“Virginia’s farmers stand ready to work with the administration on solutions that support consumers while strengthening the American cattle industry,” Sink said. “A strong domestic food supply benefits everyone.”
-Virginia Farm Bureau