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DES MOINES, Iowa - During an annual business meeting last weekend in Atlanta, pork producer delegates approved a proposal to reduce the current mandatory pork checkoff by $0.05 per $100 value of hogs sold. The reduction of the Pork Checkoff will only change when the written commitment to offset the funds producers voluntarily contribute to other industry needs exceeds $4.5 million on an annualized basis.
Each year, Pork Act Delegates collectively make decisions about the Pork Checkoff, including recommending the rate of the Checkoff, the percentage of Checkoff that is returned to states, and nominating and ranking producers and/or importers for appointment to the National Pork Board and to the Pork Board Nominating Committee.
As one of the major industry-related resolutions acted on during the meeting, the National Pork Board's budget committee said the decrease would result in a projected annual checkoff budget of around $43 million, compared with an operating budget that in recent years was close to $50 million.
Among the group's other goals announced at the meeting, the National Pork Board encourages the industry to work together with a coalition of selected commodity groups and agricultural organizations with ties to the livestock industry to develop action steps and a plan of work to address the future of the pork industry in a proactive manner, based on sound science.
Through a legislative national pork checkoff, NPB is responsible for collecting from hog producers and pork importers $0.40 per $100 value for hogs sold. The money is used to fund industry research, promotion and education programs.
The vote follows a series of lingering court battles spurred by some producers who question the constitutionality of the mandatory pork checkoff, which is now in the hands of the U.S. Supreme Court. Industry sources say the high court may make a decision on whether to consider the case sometime this summer, depending on additional legal motions.