Washington, D.C. – U.S. Senator Mike Enzi, R-Wyo., said restricting meat packer ownership would encourage competition and fairness for Wyoming's small livestock producers.

In a March 21 letter to Senators Tom Harkin and Richard Lugar, the chairman and ranking members of the Senate Agriculture Committee, Enzi pressed for language that would ban meat packer ownership of livestock more than 14 days before slaughter to be maintained in the final version of the Farm Bill.

"Packer ownership of livestock is the most visible aspect of the captive supply problem. Banning it will be a very important first step in dealing with the larger problem of captive supply," wrote Enzi.

Enzi also introduced a Captive Supply Bill, S. 2021, last week to address other elements of captive supply including price contracts and open trade for livestock producers on public markets.

Enzi's letter regarding packer ownership follows:

March 21, 2002

Honorable Tom Harkin
United States Senate
Committee on Agriculture, Nutrition and Forestry
Washington, DC 20510

Honorable Richard Lugar
United States Senate
Committee on Agriculture, Nutrition and Forestry
Washington, DC 20510

Dear Mr. Chairman and Senator Lugar:

As you and your staff work to finish the Farm Bill conference, I would like to call your attention to the importance of retaining the ban on packer ownership of livestock more than 14 days before slaughter in the conference report.

I am encouraged by the significant headway that has been made toward a completed Farm Bill, and I realize that the ban on packer ownership of livestock is one of the outstanding issues. I urge you to withstand the pressure to compromise.

The Senate already overcame one attempt to replace the ban on packer ownership of livestock with a study during the Senate Farm Bill debate. Replacing this provision with a study would gut this important section of the bill and needlessly delay the restoration of fairness to the livestock market.

Captive supply costs cattle producers in the United States an average of $1 billion a year. Packer ownership of livestock is the most visible aspect of the captive supply problem, and banning it will be a very important first step in dealing with the larger problem of captive supply.

I strongly urge the conference committee to retain the ban on packer ownership of livestock in the final conference report and make a start toward restoring fairness to the livestock industry. Thank you for your hard work on the Farm Bill. I look forward to working with you in the future.

Sincerely,

Michael B. Enzi
United States Senator