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Beef Promotion Operating Committee approves 2020 plan

Fiscal 2020 budget increased $614,600 from fiscal 2019 budget of $43.9 million.

The Cattlemen’s Beef Board (CBB) will invest approximately $40.9 million into programs for beef promotion, research, consumer information, industry information, foreign marketing and producer communications during fiscal 2020, subject to approval by the U.S. Department of Agriculture.

In action at the end of its Sept. 10-11 meeting in Denver, Colo., the Beef Promotion Operating Committee (BPOC) approved checkoff funding for a total of 15 “authorization requests” – or grant proposals – brought by seven contractors for the fiscal year beginning Oct. 1, 2019. The committee, which includes 10 producers from CBB and 10 producers from the Federation of State Beef Councils, also recommended full CBB approval of a budget amendment to reflect the split of funding between budget categories affected by their decisions.

The seven contractors brought a total of $50.767 million worth of funding requests to BPOC this week, nearly $10 million more than the funds available from the CBB budget.

“The BPOC is completely producer driven. We have cattle men and women from all over the U.S. as well as importers deciding where these checkoff dollars need to be spent,” CBB and BPOC chairman Chuck Coffey said.  “It’s always great to hear about the programs and projects proposed by our contractors to utilize our checkoff dollars yet, on the other side, an equally difficult decision to balance the budget and distribute those dollars according to where we believe will be most useful for driving beef demand.”

In the end, BPOC approved proposals from seven national beef organizations for funding through the fiscal 2020 CBB budget as follows:

  • National Cattlemen’s Beef Assn. (NCBA) -- five proposals for $27.383 million;
  • U.S. Meat Export Federation, a subcontractor to NCBA -- one proposal for $8.28 million;
  • North American Meat Institute -- four proposals for $1.953 million;
  • CBB -- one proposal for $1.646 million;
  • American Farm Bureau Foundation for Agriculture -- one proposal for $698,300;
  • Meat Import Council of America -- one proposal for $498,786;
  • U.S. Cattlemen’s Assn. -- one proposal for $359,126, and
  • National Livestock Producers Assn. -- one proposal for $99,757.

Broken out by budget components – which are outlined by the Beef Promotion & Research Act of 1985 – the "Fiscal Year 2020 Plan of Work for the Cattlemen’s Beef Promotion & Research Board" budget includes:

  • $10.4 million for promotion programs, including continuation of the checkoff’s consumer digital advertising program as well as veal promotion.
  • $9.5 million for research programs, focusing on a variety of critical issues, including pre-harvest and post-harvest beef safety research, product quality research, human nutrition research and scientific affairs, market research and beef and culinary innovations.
  • $7.6 million for consumer information programs, including a Northeast public relations initiative, and national consumer public relations, including nutrition influencer relations and work with primary and secondary school curriculum directors nationwide to get accurate information about the beef industry into classrooms of today’s youth.
  • $3.4 million for industry information programs, comprising dissemination of accurate information about the beef industry to counter misinformation from anti-beef groups and others, as well as funding for checkoff participation in a fifth annual national, industry-wide symposium focused on discussion and dissemination of information about antibiotic use.
  • $8.3 million for foreign marketing and education in 80 countries in the following regions: Association of Southeast Asian Nations, Caribbean, Central America/Dominican Republic, China/Hong Kong, Europe, Japan, Korea, Mexico, Middle East, Russia/Greater Russian Region, South America, Taiwan and new markets.
  • $1.6 million for producer communications, which includes investor outreach using national communications and direct communications to producers and importers about checkoff results as well as development and utilization of a publishing strategy and platform and a state beef council content hub.

The full fiscal 2020 CBB budget totals approximately $44.5 million. Separate from the authorization requests, other expenses funded include: $227,000 for program evaluation; $474,500 for program development; $800,000 for USDA oversight, which includes $400,000 for Agricultural Marketing Service oversight and $400,000 for CBB’s legal and compliance, and $2.1 million for CBB administration. The fiscal 2020 budget represents an increase of $614,600 from the fiscal 2019 budget of $43.9 million.

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