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March 2013
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Click this seal to go to the top of the newsletter |
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NTF Staff
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President
Joel Brandenberger; Ext. 7226
Legislative
Damon Wells; Ext. 7232
Leslee Oden; Ext. 7228
Scientific & Regulatory
Lisa Picard; Ext. 7233
Andrew Bailey; Ext. 7224
Communications
Mary Raguso; Ext. 7227
Peggy Albertson; Ext. 7223
Kimmon Williams; Ext. 7234
Membership
Jen Dansereau; Ext. 7229
Lauren Ehrsam; Ext. 7221
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President's Message
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Greetings!
Thank you to the more than 600 people who attended the 2013 Annual Convention in San Diego. The turnout was extraordinary -- among the best ever for a non-Orlando convention -- and a slightly modified convention format allowed participants to maximize their education experience.
NTF also is grateful to the many speakers who agreed to lend their expertise and insights to the convention.
Even as the convention was winding down, the industry's next big challenge was emerging. By mid-February, it became apparent that Congress and the administration were not going to reach a spending agreement, thus ensuring a series of automatic budget cuts, commonly referred to as sequestration, taking effect March 1.
As NTF has communicated numerous times to members during the last few days, sequestration will have no immediate impact on the turkey industry. However, if sequestration continues for an extended period of time, Agriculture Secretary Tom Vilsack has said the department will have to furlough meat and poultry inspectors.
NTF is taking aggressive steps to avoid a harmful impact on the industry. More detailed information can be found in the Scientific and Regulatory Affairs section of this report.
If you have any questions at all about this process, though, please contact the NTF staff immediately.
Sincerely,
Reminder: You must log on to the " Members' Only" website in order to go to some of the links contained in the body of this newsletter. Your username and password are below: Username:
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Economic Update written by Tom Elam, FarmEcon, LLC
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After bottoming out in the midst of the 2009 recession, turkey demand recovered quickly over the next two years (2010 and 2011). However, in 2012 there was a significant domestic demand setback. The chart below shows how weighted average whole bird and parts prices increased after 2009, partly because per capita consumption fell (due to restricted supply), and partly because of improving economic conditions. In 2012 there was another small 0.1 pound decline in per capita consumption, but the weighted average price dropped from $1.11 to 97 cents per pound. Of that 14-cent decline in prices, 72 percent was breast meat pricing.
Click here to read more.
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Legislative
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Senate Bill Introduced to Roll Back Ethanol Requirement for Gasoline: Last month, Senrs. Roger Wicker, R-Miss. and David Vitter, R-La., introduced legislation to block an increase in the amount of ethanol that can be blended with gasoline. The bill would overturn the Environmental Protection Agency's (EPA) waivers that allowed gasoline containing 15 percent ethanol (E15) for use in newer cars and light trucks. The Wicker-Vitter bill would prohibit the EPA administrator from granting any waiver for a mid-level blend above 10 percent ethanol and would repeal the previous waivers. NTF joined 36 organizations in a letter applauding the introduction of the bill and will work to pass the bill through Congress. A copy of the Wicker-Vitter bill can be found here. EPA in 2010 and 2011 issued waivers to permit the use of E15 in cars and light trucks that are model year 2001 or newer.
House Hearing on E15: In February, the House Science, Space and Technology subcommittee on Environment conducted a hearing entitled "Mid-Level Ethanol Blends: Consumer and Technical Research Needs." The hearing focused on concerns about E15 and representatives from the American Automobile Association, American Motorcyclist Association and the Coordinating Research Council testified.
NTF Presses for RFS Reform at Congressional Hill Briefings: As part of the effort to educate the new Congress about ethanol's harm to the U.S. economy, NTF, along with a diverse coalition of organizations, conducted House and Senate congressional staff briefings-which were well attended. Dr. Tom Elam of FarmEcon, LLC, represented NTF and the National Chicken Council (NCC), and explained the negative impacts of the RFS on animal agriculture and why reform is so critical to the poultry industry.
Immigration Hearings: On Feb. 26, the House Judiciary Immigration and Border Security Subcommittee had a hearing to discuss the issues facing farms and processors that rely on immigrant labor. Judiciary Committee Chairman Bob Goodlatte said providing agribusiness a future flow of foreign workers is critical to passing an overhaul of immigration. Testifying on behalf of the Food Manufacturers' Immigration Coalition, which includes NTF, was NCC president Mike Brown. The coalition testimony illustrated the importance of a stable and permanent workforce that can help sustain rural communities where meat and poultry facilities often operate. Click here to read NTF's statement supporting the Principles of Food Manufacturers Immigration Coalition and to view its membership.
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Scientific and Regulatory
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Sequestration: With sequestration starting March 1, here is the latest information about the possible impact on turkey plants, and what actions NTF and other meat and poultry associations are taking to respond.
- Food Safety Inspection Service (FSIS) Inspectors: There will be no immediate disruption to FSIS or other government services on March 1. Federal law requires inspectors (and most other government workers) be given 30 days' notice of a furlough. FSIS has additional notice requirements to their inspectors union which may require another 45-120 days to begin furloughs.
- Duration of Furloughs: USDA is on record stating that "sequestration would result in an across-the-board furlough of as much as 15 days for all FSIS employees, including inspectors." An inspector furlough will not begin until late spring, and USDA officials have indicated their intention to limit furloughs at any facility to one day a week, with no two consecutive days off. The length of the furloughs depends largely on how long it takes Congress and the administration to reach a budget agreement.
- Furlough Alternatives: It is possible USDA could find an alternative to inspector furloughs, but at this writing, the turkey industry should assume furloughs will occur.
NTF has conveyed to Congress and the administration the harm sequestration will cause to the turkey industry, and we will have additional grassroots activities for our members in the coming days and weeks. Other meat and poultry groups are planning similar exercises. In addition, NTF's legal counsel and counsel for other associations are exploring legal options if it appears furloughs actually will be implemented. NTF will keep you apprised of this process.
Technical and Regulatory
Comminuted Poultry Product: On Friday, February 22, FSIS issued Notice 17-13, entitled "Responsibilities Related to Establishments Producing Not Ready to Eat Comminuted Chicken and Turkey Products." This Notice instructs Inspection Program Personnel (IPP) to inform establishment management of the upcoming regulatory requirements and agency verification testing of Not Ready-to-Eat (NRTE) comminuted poultry products. At this point, verification testing will include mechanically separated turkey destined for export.
FSIS has extended the comment period on the Federal Register document until April 20, 2013. FSIS issued Notice 17-13 so that IPP can have an awareness meeting with establishment management on the agency's current thinking and expectations. The Notice also includes agency guidance as an attachment to assist establishments in reassessing their HACCP plans. NTF is preparing public comments on this notice, including a strong objection to FSIS' current MST testing plan. Please contact Lisa Picard if you would like to join the comment subcommittee.
FSIS Begins Industry Implementation of PHIS: FSIS is implementing the industry functionality of the Public Health Information System (PHIS) to FSIS-inspected domestic establishments and official import inspection establishments. This part of the system will enable the industry to respond and view noncompliance records and to file appeals. It will also give the industry the ability to view, export to a PDF, and print reports of sampling results, noncompliance records, and the establishment profile. Contact Lisa Picard or Andrew Bailey with questions on using the new system.
Labeling Webinar: FSIS is offering a webinar on the Labeling Submission and Approval System-a Web-based application for accepting label submissions that launched last May. The discussion will focus on steps establishments can take to register and submit label applications. The webinar is scheduled for 2 p.m. EST on March 20. Materials from the Jan. 20 session are available on the FSIS website. Contact Kristin Goodwin at (301) 504-0878 with additional questions.
Live Production
Petition Filed Against E15 Decision: NTF, along with several other food and oil related organizations, jointly filed a petition requesting a reversal of the U.S. Circuit Court's decision to reject a challenge to EPA's grant of partial waivers for E15 usage. Companies producing food in the United States already face numerous challenges; and now as a result of the court's decision, they may not receive the corn needed for their products. Several food companies have warned that increased input costs will result in higher food costs for consumers.
NTF Concerned Over EPA Decision: NTF expressed its deep concern both in direct Correspondence and in the media over EPA's recent decision to publically release significant and confidential personal and business information about thousands of livestock and poultry farmers across the country. NTF and other Animal Ag groups
believe government officials should carefully review all responses to Freedom of Information Act (FOIA) requests to prevent releasing sensitive information in order to better protect the privacy and commercial interests of individual farmers who produce the nations' food supply.
NTF's understanding is that this information was gathered from over 30 state-permitting authorities and later transmitted as raw data to the Natural Resources Defense Council, Earth Justice, and the Pew Charitable Trusts as part of two separate FOIA requests filed by the groups.
International
Free Trade Agreement with EU: NTF continues to express its support of the Obama administration's recently announced decision to begin negotiating a transatlantic free trade agreement with the European Union (EU). In the most recent letter from NTF and other members of the coalition to the United States Trade Representative, the announcement was commended but cautioned that pursuit of U.S. agriculture negotiations should remain a "single undertaking." The administration has promised to include agriculture in the negotiations, and the EU is open to including increased market access. However, recent statements from EU officials call into question their willingness to include critical technical and sanitary issues within the scope of the negotiation.
Codex Public Meeting: FSIS and FDA are hosting a public meeting to receive comments and draft the U.S. positions scheduled for discussion at the 41st Session of the Codex Committee on Food Labeling in Charlottetown, Canada on May 14-17, 2013. The agencies' public meeting is April 17, from 1-3 p.m. at USDA's Jamie L. Whitten Bldg., 1400 Independence Ave., SW, Rm. 107-A, Washington, DC 20250.
Agenda items include-
- Implementation of the World Health Organization Global Strategy on Diet, Physical Activity and Health
- Proposed draft revision of the guidelines on nutrition and health claims concerning non-addition of sodium salts
- Guidelines for the production, processing, labeling and marketing of organically produced foods.
For more information about the public meeting, contact Doreen Chen-Moulec at (202) 205-7760.
Hong Kong Lifts Avian Influenza Ban: Hong Kong lifted its ban on King County, N.Y., effective February 22; the original ban concerned avian influenza. Now, health certificates must now accompany products and are subject to testing at the border.
Worker Safety/Human Resource
Poultry Industry Safety Awards: Applications for the 2013 Joint Poultry Industry Safety Recognition Award Program are now available here. The deadline is March 29. This program is open to NTF, NCC, and USPOULTRY members, and seeks to motivate employers to continuously improve their safety performance by establishing sound safety and health programs, and recognizing those facilities that achieved high levels of safety performance. Contact Paul Pressleywith any questions.
Driver Training Program Subcommittee: The Joint Safety & Health Committee is seeking volunteers for a fleet safety subcommittee to help develop a driver training program on post-accident procedures. Interested? Please contact Andrew Bailey or Paul Pressley.
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Communications and Issues
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Media Coverage of RFS Reform: In conjunction with the Capitol Hill briefings on the RFS (see Legislative section), NTF worked with its coalition partners on a media briefing. The media conference call was well attended-drawing reporters from prominent outlets including Reuters, Bloomberg, Dow Jones Newswires, USA Today, The Hill, Congressional Quarterly, Financial Times, Scientific American, Popular Mechanics, and Fortune magazine. Approximately 50 outlets featured stories based on the media call and supporting materials.
Annual T.O.M. Awards Announced: NTF presented its 11 th annual "Turkey on the Menu" (T.O.M.) Awards at the Annual Convention in San Diego to honor food service providers who best featured innovative turkey dishes on their menus, and included:
- Fast Food - Subway, nominated by West Liberty Foods; and Arby's, nominated by Jennie-O Turkey Stores
- Full Service - Sweetwater Chophouse, nominated by Cooper Farms
- Midscale - The Good Egg, nominated by Perdue Farms Incorporated
- Quick Casual - Specialty's Café and Bakery, nominated by Foster Farms
- Supermarket Foodservice - Wegman's, nominated by Butterball, LLC
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Kerry Doughty (center) accepting the T.O.M. award on behalf of Wegman's. Marketing Communications co-chairmen Carl Wittenburg (L) and Jim Leighton (R) presented the award.
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After a thorough discussion with the Communications and Issues Committee during the convention, applications will be amended to encourage the continued growth of the award. Applications for the 12th Annual T.O.M. Awards will be sent early this summer.
2012 Annual Report: NTF's 2012 Annual Report is available. Take a moment to view our "yearbook" as NTF fought for relief from the RFS, played a leading role in pushing for creation of the New Poultry Inspection System, and grew the membership of the organization. Contact kwilliams@turkeyfed.org to request hard copies.
2013 Meat Conference: Peggy Albertson, Public Relations Manager, attended the 2013 Annual Meat Conference in Nashville, Tenn., this February where she participated in the planning committee for the 2014 conference, and networked with attendees to bolster NTF's membership.
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Member Services
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2013 Annual Convention Wrap-Up
- Strong Convention Attendance: With more than 600 people in attendance, the 2013 Annual Convention in San Diego enjoyed the strongest attendance for a non-Orlando convention in almost 20 years. NTF members participated in four days of committee meetings, workshops, and networking opportunities. NTF applied the feedback gathered from prior years and included more activities to guide members through the 2013 event, streamlined meetings, and added a bevy of exceptional speakers from national media outlets to State Department representatives.
- New NTF Chairman Tells Industry to Turn Challenges into Opportunity: On Feb. 18, NTF's Board of Directors elected John Burkel to serve as the federation's 2013 chairman. A fourth generation turkey farmer, Burkel is well versed on the issues facing the turkey industry, and is on the Board of Directors of Northern Pride, Inc., a grower-owned turkey processing facility located in Thief River Falls, Minn. Click here to watch John's interview with WATT Poultry during the convention regarding the outlook for the turkey industry.
- The Board of Directors also elected Gary Cooper, chief operating officer of Cooper Farms, as vice chairman; and Jihad Douglas, president of Aviagen Turkeys, as secretary-treasurer. Steve Willardsen, president of Cargill Value Added Meats Retail in Wichita, Kan. assumes the position of immediate past chairman. Read NTF's press release announcing the 2013 EC.
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2013 NTF President, John Burkel, speaking to turkey representatives about his goals for the year ahead.
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Annual Convention Photos Available: Visit NTF's Facebook page to see highlight photos from the 2013 Annual Convention. See photos of all events by visiting the "Member's Only" website.
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Pictured here are the 2013 Turkey-Tee Off participants in San Diego.
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Lifetime Achievement honoree Robert H. "Twig" Strickler charms the audience
during the banquet dinner at the 2013 Annual Convention.
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SAVE THE DATE
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2013 Leadership Conference
Washington, D.C.
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COMING SOON: This spring, NTF transitions from a monthly to a weekly e-newsletter featuring the latest news, updates, and trends happening in and around our industry. Look for it in your in-boxes!
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