WASHINGTON – The Chairman and Ranking Member of the Senate Judiciary Committee, Sens. Chuck Grassley (R-IA) and Patrick Leahy (D-VT), as well as the Chairman and Ranking Member of the Senate Judiciary Subcommittee on Antitrust, Competition Policy, and Consumer Rights, Sens. Mike Lee (R-UT) and Amy Klobuchar (D-MN), sent a letter today to Government Accountability Office Comptroller General Gene Dodaro requesting that the office complete an assessment of the sudden price drop of U.S. cattle prices in 2015.

“Earlier this year, R-CALF USA informed the Senate Judiciary Committee of a sudden 15.1 percent drop in fed cattle prices during the latter half of 2015,” the letter reads. “[G]iven the unique and prominent role of the fed cattle market in U.S. agriculture and the economy generally, a robust analysis of the market forces associated with this price drop is warranted.”
 
A copy of the full letter can be found here.

April 20, 2016

The Honorable Gene L. Dodaro
Comptroller General of the United States
U.S. Government Accountability Office
441 G Street, NW
Washington, DC 20548

Dear Mr. Dodaro:

Earlier this year, R-CALF USA informed the Senate Judiciary Committee of a sudden 15.1 percent drop in fed cattle prices during the latter half of 2015. Senate Judiciary Committee staff subsequently spoke to various industry participants in the cattle market about possible explanations for the sudden price drop. However, given the unique and prominent role of the fed cattle market in U.S. agriculture and the economy generally, a robust analysis of the market forces associated with this price drop is warranted.

Since the drop in fed cattle prices presents significant implications for consumers, producers, and businesses, we request the U.S. Government Accountability Office conduct an assessment of the cause of the 2015 price drop, including a review of the structure of the market and of any possible anticompetitive conduct.

Thank you for your timely attention to this request. To assist you in your inquiries, we have included with this letter the correspondence we received from R-CALF USA. We look forward to working with you and learning more about any ongoing impediments or challenges facing the fed cattle industry.

Sincerely,

Chuck Grassley
Chairman
Senate Committee on the Judiciary

Patrick Leahy
Ranking Member
Senate Committee on the Judiciary

Mike Lee
Chairman
Subcommittee on Antitrust, Competition
Policy and Consumer Rights

Amy Klobuchar
Ranking Member
Subcommittee on Antitrust, Competition
Policy and Consumer Rights
 
 

 

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