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COOL verification procedures discussed at OG&SP meeting

Oklahoma

The Oklahoma Grain & Stocker Producers hosted an informational luncheon on country-of-origin labeling during the Greater Oklahoma Farm Show, recently.

Ryan Reuter, a beef specialist with the Noble Foundation, and Bill Barnhart, managing partner for the OKC-West Livestock Auction at El Reno tag-teamed to address new COOL law and its impact on livestock producers. OG&SP organized the event and Farm Credit of Western Oklahoma and Chisholm Trail Farm Credit provided the complimentary hamburger feed. Roughly 100 show-goers were on-hand to participate in the educational session.

Reuter kicked off the presentation with an overview of COOL, reminding everyone that it is a law requiring retailers to provide origin information on meats, nuts and produce. A similar law for seafood went into effect back in 2002.

"The best estimate that we are seeing now is that approximately 30 percent of the beef sold in the U.S. will have to be labeled with country of origin information," Reuter said. Processed items, foodservice, restaurants and smaller meat markets selling less than $230,000 annually, are all exempt from the law.

Reuter did some scouting at area stores prior to his presentation and gave some examples of how the label is being applied. On a ground beef chub from Wal-Mart, you "have to turn it over and read the very fine print to find out where it is from," he observed, while showing examples using Powerpoint slides. On a package of beef rib-eye steak, it was on the very bottom of the tray along with ingredients and nutritional information, again in the fine print.

What it means for producers is that all cattle sold now require a verification process.

"All cattle sold in the U.S. require some sort of origin documentation and it has to flow all the way up the chain to retail," Reuter summarized.

However, modifications to the law earlier this year stipulate that only basic routine business records will be required. Reuter's recommendations for records "lock-tight" in meeting the new regs:

--Record birth dates of animals or when cows calve.

--Record the dates of the first and last calves born, and the number of calves born during that time span.

--Document any management practices like weaning or vaccination.

--Remember that cull cows and bulls are also subject. Keep a basic record of purchases or management practices on breeding animals, too.

Producers are not required to pass on these records, but are asked to keep these records on-file in their possession and to sign affidavits confirming the origin of the animals and have the availability of the records to provide evidence. A "continuous" affidavit for anyone who deals solely with U.S. born cattle can be kept on file at the livestock auction so "you never have to turn it in again," he added.

The law only requires the production records to be kept on file for one-year. But, since you might have an animal on your farm for 10 years or more before it is culled, he recommends keeping those records longer.

But he also points out that any animals in the U.S. as of July 15 are considered U.S. origin by default, due to a grandfather clause.

"What you want for your cows right now is a way to verify that they were on your ranch as of July 15. That's all your business records have to prove," Reuter clarified. He added, "If you are participating fully in National Animal ID System, you are covered."

If you are participating in the Beef Quality Assurance program, those records will also fit perfectly with the parameters of the labeling law.

Reuter and Bill Barnhart showed copies of the affidavit forms they are using. The two documents varied slightly with a little more detail included on the forms the Noble Foundation prefers to use. Copies of the documents can be obtained by going online to the Livestock Marketing Association (www.lmaweb.com). Most cattle associations are also making copies of the forms available. If you buy animals direct without going through a sale barn, you will want to print off and submit those forms to the seller yourself and keep them in your possession for future sales.

Barnhart followed up by talking about how things are working at his facility, which handles on average 5,000 head a week, or a total of 250,000 head annually. "During the grace period, we can use visual inspection," he said. The first load of Mexican cattle to come through the sale barn after COOL implementation--which were included in last week's sale--were immediately apparent. Sale officials called the individual who brought the cattle in and had him sign an affidavit certifying that they were of U.S./Mexican origin.

Barnhart is strongly urging all of his customers to have an affidavit on file at the facility by July 2009. That is when the temporary phase-in period comes to an end. After that, he believes selling cattle without documentation could result in a penalty. He said he has already received 2,500 signed affidavits and that no one had refused to sign the papers so far.

"That would not be in their best interests to refuse to sign it," he said.

Customers have been mailed copies of the forms and are allowed to bring them in at their convenience.

"Just sign the affidavit and get it in to the market of your choice," he urged. "It's not a big deal. If we focus on what just the producers have to do, it's a real simple thing that can be handled real easily. Let's just get it done and move on to something else."

Dean Keiffer, president of OG&SP, responded to a question from the audience regarding whether packers would comply with the spirit of the law. He said the loophole allowing them to use a mixed origin label on U.S. cattle was being addressed in Washington, D.C. Early on, packers had threatened to stamp all of their beef with a label saying it was "Product of the USA, Mexico and Canada" to avoid extra paperwork and segregation requirements. In recent days, the major packers have said they will instead agree to label as much of their product as they can with Product of the USA. Tyson, for example, estimated that 90 percent of its fresh beef and pork would qualify to be labeled as USA product.

11/3/08
5 Star OK\20-B

Date: 10/30/08


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