Checkoff

IT’S TIME TO SPEAK UP FOR THE BEEF CHECK-OFF

EVAN VERMEER, SENIOR CATTLE CONSULTANT, LAND O’LAKES

I have attended the last few NCBA meetings and have paid special attention to the way beef check-off dollars are being spent. I am totally convinced that we are heading in the right direction. We, as an industry, are finding new ways to sell more beef at higher prices. The affect of this on the cattle market will not be immediate, but the goal of reversing the slide of beef’s market share by 2001 will likely be met.

Let me list some of the projects being funded by check-off dollars:

	Nutritional parity, comparing lean beef to chicken and fish
	Health benefits of beef
	Focused beef campaigns in top 30 markets and suburban area
	Lean beef in healthy diets
	Youth beef ambassador program
	Programs for training dieticians regarding the reasons to recommend beef to their clients
	Decreasing negative beef image by medical and health organizations
	Safe food handling practices
	Developing more positive attitudes about beef in the news media
	Better understanding of BSE/CJB
	Human nutrition research

The breakdown of expenditures of the beef check-off dollars is as follows:

61.2% Consumer Advertising

17.2% Industry and Consumer Information Programs

2.3% Producer Information

6.9% Foreign Promotions

7.8% Research

4.5% Administration

The beef check-off is being challenged at a time when it is really starting to pay off. That is sad. We don’t need to fight internally as an industry. We need to support the right programs that will sell more beef.

Ronald Ward is a professor in the Food and Resource Economics Department at the University of Florida. He has done an extensive analysis of the affect of the check-off program. Following are his conclusions:

Without the check-off program the demand for beef would be 5% less today.
Total revenue to the beef industry as a result of check-off funded programs is up by 2-2.50%.
For each additional $1 spent on promotional programs, the beef industry will receive $5.77 more in market prices.

We need to advertise, research, develop and promote our product. We have a lot to lose if we lose the source of funding for these projects. Discontinuing the check-off is not a viable option if beef is to grow its market share into the twenty-first century.