July 21, 2008
US producers cheer as CRP lands approval frees up more feed resources
The National Pork Producers Council (NPPC) has welcomed the ruling of US District Court Judge John Coughenour to allow livestock producers to utilize at least 2.5 million acres of noncritical Conservation Reserve Programme (CRP) land for haying and grazing under the USDA''s Critical Feed Use (CFU) initiative.
USDA earlier proposed lands reserved under the CRP programme to be allowed for cattle grazing to relieve currently high feed prices in the US. However, the plan was halted by the National Wildlife Federation''s (NWF) who managed to get an injunction to halt the programme, claiming its impact on wildlife.
Producer groups such as the NPPC, along with the American Farm Bureau Federation and National Cattlemen''s Beef Association, argued against that injunction, citing the fact that producers, already suffering from high feed prices, would face significant losses if the lands were not freed up.
In declining to extend the injunction, Judge Coughenour cited the possible impact on the industry, country and the world economy at large if the injunction to halt land use was continued.
The judge ordered the NWF and USDA to come up with a compromise plan designed to mitigate the hardships of livestock producers, suggesting that at least 2.5 million acres of CRP land be released for haying and grazing.
According to USDA estimates, the CFU initiative will generate around 18 million tonnes of hay, which would free up large quantities of other feed raw ingredients currently in short supply and lower input prices for livestock producers throughout the industry.
NPPC board member Doug Wolf, said the court''s decision could free up an estimated 105 million bushels of corn, or a 10-15 percent increase in carry over stocks of grain.