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CED-78-153 1 (1978-09-26)

handle is hein.gao/gaobacjhl0001 and id is 1 raw text is: 


DOCURNIT 82SURZ


070143 -- (.42697776]

Beef Marketing: losues ard Conana. CBE-78-153; B-136898.
Septeaer 26, 1978. 60 pp. + 7 appendic*s (13 pp.).

Staff study by Hour) EschWege, Director, Community an6. Econonic
Develoseant Div.

Issue A.-em: rood: Federal and State Regulations iasacting Food
    sarketing j1712); Consumer and Worker Protection: Consumer
    Prctection from Chemical Coatamaiantas and Iatural Poisons in
    Food (906).
Contact: Comaunit7 and Economic Development Div.
Budget Func+.±on: Agriculture: Agricultural lesearch and lrvices
    (3.2).
Organi2ation Concerned: Department of agriculture; Federal Trade
    Consission; Departant-of Health, Rducation, and ltfare;
    Commodity Futures Trading Commission; Department of Justice.
Congrecsionil Relevance! House Committee on Agriculture; Sena.e
    Committee 3n Agriculture, Nutrition# and Forestry.
Authority: Sherman Antitrust Act of 1890 (15 U.S.C. 1). Packers
    and Stockyards Act (7 U.S.C. 181). leat Inspection Act (21
    U.S.C. 601). Food, Drug, and Cosretic Act, as amended;
    Delauov Clause (21 g.S.C. 301; 21 U.S.C. 3 ,8(a)). Clayton
    Act. beat Import Act of 1964. Interstate Commerce Act. 49
    U.S.C. 1. 15 U.S.C. 15. 19 U.S.C. 1202. Solomon Valley
    Feedlot, Inc. v. Buts, 555 F.2d 717 (10th Cir. 1977).
    Illinois Brick Company v. Illinoise 431 U.S, 720 (1977).
    Hess and Clark v. ?DAg 495 F.2d 975 (D.C. Cir. 1974). S.
    1874e 1.95th Cong.). H.R. 8359 (95th Cong.). H.R. 5052 (95th
    Cong.).

         Beef is important to consumers' diets as a primary
source of protein. About 25% o the consuner food budget is
spent oz seat, and beef accounts for about 60% of this amount,-
Recent rises in beef prices have had, therefore, a strong impact
on tht public. Findings/Conclusions: In the first half of 1978l
nDef prices rose to record levels. The main reason for the
recent price rise appears to be the regular 10-year cattle cycle
which has resulted in a decreased cattle inventory. Other
factors alse affect the final retail price of beef and the
entire b,ef marketing system. There are serious concerns over
the increasing concentration and market control within the beef
marketing system and the Government's ability to deal with this
concentration. Industry officials believe that prices quoted by
the Tellcw Sheet, a publication based on market information#
are subject to manipulation. Producers and feeders have also
charged that 4hey have little control over prices met by packers
and retailers. Groups within the beef industry, the Federal
Government, and the consumer ovement are concerned about tke
rcle of the Government in insuring beef supply safety and
quality. Several innovations that are being considered may
enhance the ability of one industry segment to control the

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