USDA BUYS MORE MEAT AND DAIRY PRODUCTS

Responding to industry requests, U.S. Secretary of Agriculture Tom Vilsack announced on March 31st that the Department would purchase $87 million of turkey, lamb and pig meat, including a "bonus" purchase of approximately 50 million lbs. of boneless, skinless turkey-breast meat. The prior week the USDA bought some 200 million pounds of nonfat dry milk to help the dairy industry. The purchases are in addition to the ones the USDA makes annually for school lunch and other federal food programs. Last April, the agency bought $50 million of supplemental pig meat.

The pig industry claims it has been losing an average of $20 on each pig sold since October 2007 (purportedly some $3 billion in equity), and the dairy industry says it loses and average of $3 per cow per day. Vilsack said the government's purchases will "help mitigate further downward prices, stabilize market conditions, stimulate the economy and provide high quality, nutritious food to our nutrition programs." The National Pork Producers Council also asked Vilsack to use USDA resources, including the Market Access Program (see item #7) and the Foreign Market Development Program, to promote pig meat exports, which were at record levels in 2008.

VILSACK LAUDED FOR U.S.D.A.'S BONUS MEAT PURCHASES
Meat & Poultry, Bryan Salvage, April 1, 2009
http://tinyurl.com/d3d2gz

USDA BUYS UP $25 MILLION IN PORK
The Wichita Eagle, Rick Plumlee, March 31, 2009
http://www.kansas.com/business/updates/story/754919.html