By DOUG SCHMITZ
Iowa Correspondent
DES MOINES, Iowa — The National Pork Board (NPB) on Nov. 14 approved up to a $51 million budget spending limit and an operating plan for 2008 that officials say would address five critical issues facing the U.S. pork industry.
“The 2008 plan combines programs that continue to work for producers with a number of exciting new ideas,” said Lynn Harrison, board president and an Elk Mound, Wis., pork producer of the budget and plan, which were approved at the board’s meeting in Des Moines and sent to acting USDA Secretary Chuck Conner for final approval.
“Approximately 20 percent of this budget will go directly to state pork organizations to allow them to conduct their own checkoff-sponsored activities and to partner with national programs,” Harrison added.
“On the national level, we have approved 22 new projects representing about $4.8 million of the budget.”
Home to the pork checkoff, the Des Moines-based NPB represents 44 state pork associations to which 20 percent of all checkoff fees are returned for work in their states, as well as for several programs where national and state farm groups would work cooperatively to fund projects, especially in the areas of advertising and promotion.
Through a legislative national checkoff, U.S. pork producers invest 40 cents for each $100 value of hogs sold, and pork importers also invest a comparable amount.
“The pork checkoff is collected on every hog and pig marketed in the U.S., as well as pork products imported into the U.S.,” said Cindy Cunningham, the board’s assistant vice president of communications. “It really takes a team effort to accomplish all the pork checkoff does on behalf of producers. In fact, that was the basis for the pork checkoff in the first place. The producers who started the program were sure they could accomplish more, working together.”
Critical issues
The Nov. 19 approval ends a four-month planning process that began in July with the 15-producer board identifying five critical issues that included input from more than 150 producers, many of whom are members of checkoff committees.
“Through the budgeting process, literally hundreds of pork producers had input into the projects funded,” Cunningham said. “The checkoff recognizes the importance of U.S. pork in 2008.”
The five critical issues included the competitive advantage for U.S. pork, the safeguard and expansion of international markets, domestic pork expenditures, the trust and image of the U.S. pork industry and the development of human capital. Cunningham said the most critical issue for 2008 is the competitive advantage for U.S. pork.
“This critical issue will work on science-based solutions for a wide variety of industry topics, address domestic and global emerging issues, prepare producers for crisis situations and communicate to producers how, working together, they can accomplish objectives they could not individually,” she said.
The second critical issue for 2008 is the safeguard and expansion of international markets, where the checkoff would work to improve animal health and surveillance infrastructure for the U.S. pork industry.
“The pork checkoff has worked with the pork industry’s customers, packers and pork producers to develop a workable, credible and affordable solution to assure food safety and animal care and, at the same time, meet the needs of customers including restaurants, food retailers and consumers,” Cunningham said.
“The new certification program, Pork Quality Assurance Plus (PQA Plus), incorporates an animal care component into the current PQA certification program. It was developed to position domestic pork production as America’s premier food production industry in both the U.S. and world markets.”
She added the checkoff will also work with U.S. producers to help them understand the expectations and requirements for their international customers and their respective roles in safeguarding the markets.
The third issue is domestic pork expenditures, which would focus on consumers, packer/processors, food service and retail, Cunningham said.
“U.S. pork exports, which are supported by the pork checkoff, continue to be a huge success story for pork producers,” she said.
“U.S. pork exports marked the 15th consecutive record year in 2006.
“The U.S. pork industry sold 1.231 million metric tons of pork and pork variety meat products for slightly less than $2.76 billion in 2006. U.S. pork is attempting to set a record for exports for the 16th consecutive year in 2007.”
The fourth issue is PQA Plus, which is one of the ways Cunningham said the checkoff is working to improve the trust and the image of the U.S. pork industry.
“Through this critical issue, science-based information will be delivered to consumers, health professionals, media and other influencer segments,” she said. “Consumers will have a positive image of pork and youth will have an understanding and appreciation for agriculture.
“A socially responsible pork production is defined and a process for repositioning the image of the industry will be underway in 2008.”
Moreover, Harrison said just a few years ago, the trust and image critical issue was “barely on (the board’s) radar screens.
“Today, we have more than $5 million dedicated to efforts to build trust with customers and to improve the overall image of the pork industry. That represents nearly 15 percent of our total programming budget and addresses key consumer and customer concerns through programs such as Pork Quality Assurance Plus and Operation Main Street.”
He said a new item in trust and image is an appropriation that would allow the board to work with other pork and agricultural groups, and with food-chain partners to help consumers develop a better understanding of modern pork production and how it contributes to a safe, high-quality and reliable source of food.
The final critical issue for 2008 is the development of human capital, which, Cunningham said, would center on developing tomorrow’s pork industry leaders by providing educational tools.
“Producers will have the knowledge, resources, tools and training to align people, processes and systems with business strategy in order to create a competitive advantage,” she said. “Future leaders of the pork industry will be developed and supported in ways that create mutual opportunities.”
Exports, research
The 2008 budget and plan also maintains the board’s commitment to the work of the U.S. Meat Export Federation in building export markets for U.S. pork, and continues national advertising, Cunningham added.
“Pork checkoff promotions continue to support demand growth,” she said. “The new ‘The Other White Meat – Don’t Be Blah’ targeted-market brand campaign is showing positive results.
“Consumer research shows awareness of ‘The Other White Meat’ advertising has increased significantly since the start of the campaign, there has been an increase in ‘upbeat’ descriptions of our product, and those aware of the brand campaign have significantly higher attribute ratings for ‘The Other White Meat’ than those not aware.”
Cunningham said the 2008 budget and plan will continue research efforts in a wide variety of areas, including Porcine Respiratory and Reproductive Syndrome, Porcine Circo-Virus Related Diseases, euthanasia procedures, nutritional efficiency, sow longevity, animal well-being, pork safety, environmental practices and antibiotic use.
For more information, contact the Pork Checkoff Service Center at 800-456-PORK (7675) or visit www.pork.org |