Are farmer cooperatives in the bulls eye
Farm and Ranch November 24, 2009 The U.S. Justice Department is reviewing the longstanding anti-trust exemption for farmer cooperatives. Without the exemption - some in ag feel co-ops will cease to exist. Connor: “The Assistant Attorney was quoted as saying Congress might conclude that the Capper-Volstead Act might not be the right law for the state of the industry at this time. She also was quoted in that same hearing saying coops may have grown beyond what was imagined when the statute was enacted.” Connor says farm groups he has met with are shocked. Connor: “The reaction is one of a little bit of disbelieve the though that somehow farmers having the ability to collectively to come together to do things they can‘t do things they can‘t do as an individual just seems like motherhood and apple pie and so to challenge that in some way I think a lot of them are suspicious.” It would of course be up to Congress to change the law regarding farmer cooperatives. I’m Bob Hoff and that’s the Northwest Farm and Ranch Report on the Northwest Ag Information Network. ?
The “Capper-Volstead” anti-trust exemption has been around since 1922 - and has been hailed as a Magna Carta for farmers - allowing them to - among other things - buy fuel and fertilizer more cheaply and market grain at a higher price through elevators. Chuck Connor, former USDA Deputy Ag Secretary and now National Council of Farmer Cooperatives President, says Assistant Attorney General Christine Varney spoke about farmer cooperatives at a Senate Judiciary field hearing.
