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Checkoff Programs May Have Some Checks and Balances
Cornucopia’s Take: Bloated administrative expenses, lack of accountability, and a failure to produce tangible benefits for farmers are longstanding concerns with commodity checkoff programs. These failings and abuses are among the reasons that Cornucopia and other organizations oppose the proposal by the Organic Trade Association for an organic checkoff program.
Senators Introduce Bill To Halt Anticompetitive Activities Of USDA Checkoff Programs
Forbes
by Nancy Fink Huehnergarth
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July 14, 2016 – Senator Mike Lee (R-Utah) and Senator Corey Booker (D-New Jersey) this morning introduced the Commodity Checkoff Program Improvement Act of 2016 that would require a new level of transparency and oversight for United States Department of Agriculture (USDA) checkoff boards. The bill would prohibit checkoff programs from engaging in anticompetitive activities or disparaging rival products or commodities.
The nation’s 22 checkoff boards promote individual agricultural commodities such as lamb, peanuts, avocados, pork, potatoes and cotton, and are probably best known for creating promotional campaigns for beef (It’s What’s for Dinner), eggs (The Incredible Edible Egg) and dairy (Got Milk?). The USDA oversees checkoff programs and collects the mandatory fees from producers.
According to Senator Lee’s statement, the bill is a “direct response” to anticompetitive activities uncovered last year at the American Egg Board, which Lee called, “a classic case of Big Government and Big Business working together to squeeze out smaller rivals and squelch innovation.” The proposed changes are “designed to improve checkoff board behavior and avoid similar conduct in the future.”
The post Checkoff Programs May Have Some Checks and Balances appeared first on Cornucopia Institute.
Source: http://www.cornucopia.org/2016/07/checkoff-programs-may-checks-balances/
