Volume VII Number 1
January/February 1999


Unity Is Key To Cattle Feeders' Future

TCFA President challenges cattlemen to get involved.

"Think of an alley with four gates. We're the alley and the big packers are the gates. We try to crowd all of our fed cattle down that one alley and one of the tickets for gate entry to the packer has little, if any, negotiation involved."

That, according to Bob Sims, president of the Texas Cattle Feeders Association, fairly well sums up the situation in the cattle feeding business today. And that's the reason, he told cattle feeders attending the 1998 TCFA Convention in Fort Worth, Texas, that unity within cattle feeding is so important.

"If we continue to crowd that alley with the four packer gates without any unity in negotiating, we are going to continue to get freightrained. Until we have the commitment to do something for ourselves -- which is show some unity -- the freight train will keep coming."

Sims said, even though cattlemen are notoriously individualistic, there is an example of how unity has helped the beef industry -- the beef checkoff. "Is the checkoff perfect? No. Anytime you have a program where more than 1,600 cattlemen, at the state and national levels, are involved in the decision-making process, you can expect disagreement," he said. "However, the beef checkoff is one of the best examples of how independent thinkers can come together and develop plans and programs to benefit the industry."

Using the cliche about building a better mousetrap, Sims gave cattle feeders his reflections on the past year. "In cattle feeding, a better mousetrap is more money for fed cattle. Is group marketing the better mousetrap? I don't know, but I doubt it because, to date, there has been too little commitment."

The other types of marketing alternatives to receive attention are alliances and other integrated marketing arrangements. "Is that our mouse trap? Possibly, but short of the producer getting part of the retailer's P&L, all you're doing is giving the packer even greater numbers of packer-controlled cattle."

Sims told cattle feeders that he believes the future for the industry is promising. "However, fulfilling that promise will require change for all of us. We can't help ourselves unless we're willing to make that effort. And we won't be willing to make that effort unless we're committed to the future of the industry."

Sims gave cattle feeders a challenge. "If you want to change the marketplace that we sell cattle in, get involved. Get involved in TCFA and NCBA. We, as an industry, can either decide to work together and compete, or we can maintain our cowboy independence and egos,with no unity or commitment, and become totally irrelevant. The choice is ours to make."



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