As President-elect Barrack Obama begins to fill his Cabinet, speculation continues to swirl on who might be named the new Secretary of Ag. But that's not the only change the ag industry needs to keep their eye on - there are many seats yet to be filled that are of extreme importance to setting the future for ag issues.
Colin Woodall, executive director of legislative affairs for NCBA, recently shared his views of what the new political climate may mean for cattle producers. With many question marks remaining on who will be part of Obama's administration and what the new president's policies will be, Woodall says, "There are a lot of changes and uncertainty in D.C., and he believes that is being translated into the economy right now. He explains, "The markets don't like uncertainty, and we are seeing that in the overall stock market and the cattle market as well."
Woodall acknowledges that the change in administration - with Democratic control not only in the White House, but in the Senate as well - means the ag industry will need to make some new friends and will have "a lot of work to do."
In addition to the influence the USDA Secretary position will have on American ag, Woodall says the Secretary of State is also a position important to agriculture because of it's influence on trade. The Secretary of Interior and the EPA Administrator are also positions that are of importance to cattlemen due to public lands issues and environmental rules and regulations; as is the Health and Human Services Secretary because that position overseas the FDA. Woodall also expects some shuffling of individuals on the House and Senate ag committees.
Woodall says these are all positions to watch. He says rumors suggest the current Governor of Montana Brian Schweitzer could be a front-runner for Secretary of Interior -which would be a positive, as he appears to be a friend to cattlemen.
On the issues side of the coin, Woodall expects taxes to be a topic that we will hear a lot about during Obama's first 100 days in office. And he adds, "We need to make sure cattle producers are heard in the discussion." With the death tax coming due in 2010, as well as capital gains issues affecting the livestock industry, Woodall says it is important that the agricultural sector pays attention and speaks up.
Trade is another issue of concern as the transition in administration occurs. Woodall says free trade agreements with Korea, Columbia and Panama are under discussion, but with Congress not in session most of December, it is unlikely these will be finalized before Obama takes office. Woodall is concerned that the ag industry could lose some traction on trade issues with the changes in D.C. But he adds, "Obama has said he wants to make all of his decisions on sound science, so we are hopeful he will stand by that in regard to trade issues."
The environment, national animal ID, country-of-origin labeling, food safety and nutrition, and energy are also hot topics that could see different policies under the Democratic administration. As an example, Woodall anticipates increased scrutiny of food safety processes by the incoming government.
Last, but by no means least, Woodall says animal activists are a paramount issue facing the ag industry with this change in administration. "The increased access groups like PETA and the HSUS (Humane Society of the United States) have gained in D.C. scares us the most," Woodall says frankly.
He explains that HSUS has the stated goal of "eliminating animal ag in this country." Their group is behind the ban on slaughtering horses in the U.S. and ballot initiatives like California's recent Proposition 2, which passed and essentially outlaws farrowing crates and laying hen cages in the state.
Woodall says these groups are a concern, and he points out that the HSUS endorsed Obama during his campaign. "People in the livestock industry need to know that," says Woodall.
While Obama's term is still unwritten, all eyes are watching and waiting to see what the new implications may be for their businesses and industries. Much more will be known after Obama's first 100 days in office.
To hear Woodall's full remarks go to www.dvauction.com and click on Leachman Seminars.
