02/20/07 Harkin introduces competition bill

American Rancher February 20, 2007 The Competitive and Fair Agriculture Markets Act of 2007 has been introduced in the U.S. Senate by Agriculture Committee Chairman Tom Harkin of Iowa. Harkin says the agribusiness sector has consolidated dramatically with four firms controlling about 80-percent of the cattle market and four firms controlling 64 percent of the hog market. That's why he introduced the bill. Harkin: "My legislation would clear away legal obstacles caused by recent court decisions that prevents producers from bringing cases directly against packers to recover damages for unfair, manipulative or discriminatory market conduct. The bill provides important protections for producers using production contracts so they know what is required of them. It prohibits confidentiality clauses so that producers are free to share a contract with family members or a lawyer." Harkin says the Administration and USDA have been dragging their feet on enforcement of the Packers and Stockyards Act. Harkin: "Last year a report by USDA's Inspector General, which I commissioned, found widespread inaction. Efforts to block investigations of unfair and anti-competitive conduct, and even efforts to cook the books to give the appearance of enforcement by the Grain Inspection Packers and Stockyards Administration." Harkin has tried to move this legislation before but he says this year he plans to use his bill as the basis for development of a competition title in the upcoming farm bill. I'm Bob Hoff.