UCCS September 12, 2017

The Politics and Economics of Food
Corporate or Family Farms
Global or Local
MikeCallicrate.com
UCCS – September 2017
1

So this is where you grew up...
What happened Grandpa?
The U.S. has lost nearly half of it’s ranchers,
90% of it’s hog farmers and over 80% of it’s
dairymen in the last 35 years.
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"What we support prospers, what we feed grows." - MikeCallicrate.com

Photograph from the book, Great Ranches of the West ©2007 Jim Keen, All Rights Reserved
Read a sample chapter and order the book at www.greatranchesofthewest.com – 800-363-5336
The National Security issue
no one is talking about!
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"What we support prospers, what we feed
grows." - MikeCallicrate.com

4
“Agriculture is a business, not a way of life!”
Teaching of land-grant institutions from
around forty years ago to present

"Let us not forget that the cultivation of
the earth is the most important labor of
man. When tillage begins, other arts will
follow. The farmers, therefore, are the
founders of civilization."
-- Daniel Webster

*All Fresh Choice Beef – USDA-ERS Data
35.0%
40.0%
45.0%
50.0%
55.0%
60.0%
65.0%
70.0%
1 2 3 4 5 6 7 8 9
1950
1975
1995
Farm share of the consumer retail beef dollar
A picture of abusive market power
2017
Rancher’s have lost around
30% of their share of the
retail beef dollar, amounting
to over $1,000 per head in
lost income.

Barry Lynn's Cornered is...
"A manifesto for our time."
--Thomas Frank, Wall Street Journal
8

Eric Schlosser, author of the best seller Fast
Food Nation, has an apt description of the
industry.
Over the last twenty years, about half a
million ranchers sold off their cattle and quit
the business. Many of the nation’s remaining
eight hundred thousand ranchers are fairing
poorly. They’re taking second jobs. They’re
selling cattle at break-even prices or at a loss.
The ranchers who are faring the worst run
three to four hundred head of cattle, manage
the ranch themselves, and live solely off the
proceeds… Ranchers currently face a host of
economic problems: rising land prices,
stagnant beef prices, oversupplies of cattle,
increased shipments of live cattle from Canada
and Mexico, development pressures.
9

"What we support prospers, what we feed grows." - MikeCallicrate.com 10

Grocery Manufactures Association
There is money in the food business…
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N7100C – Cargill
N199HF – Hormel Foods
N97SJ – J.M. Smucker
N1897S – J.M. Smucker
N135FT – Albertson’s
N46E – Hunt
N604CL – Hershey
N654CM – Crossmark Corp.
N457H – Bank of America
N606RP – Nestle Purina Pet Care Co.
N102CX – Clorox
N545CS – Wells Fargo
N604MU – Dean Mfg. Group
12"What we support prospers, what we feed grows." - MikeCallicrate.com

Trucks in St. Francis, KS
Sept. 6, 2009
Old Calnon place, So. of St. Francis
Winter day on Webster St.
Meanwhile, back on the farm…
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St. Francis, Kansas - May 2013
17

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Enrollment in St. Francis schools is one-third of forty years ago.

Emptiness: A picture of big meat packer
retaliation – Why cattle feeders won’t speak out
against meat packer abuses…
Callicrate Cattle Co., 1999 20

“These guys [Tyson] are nothing but
old-time gangsters, thugs and
thieves. They beat your brains in
with their market power and take
your money.”
January 12, 2004, Montgomery, AL
-Associated Press quoting Mike Callicrate on opening day of IBP/Tyson trial
21

“You should be suing
Walmart [Instead of
IBP], they are the
problem. They tell us
what they will pay and
we have no choice but
to pay you less.”
- John Tyson 2002

The big packers are driving the getaway car.
Partners in Crime
The big retailers are robbing the bank.

Average return on equity before tax (ROE)
Retail grocery: ROE = 21% (last 6 years)
Meat packing: ROE = 17% (last 6 years)
All Farming & ranching: ROE = NEGATIVE 0.54%
(last 13 years)
Packers--for those with sales > $500k - Before tax ROE, 2002-2009: 17.38% - source: http://www.bizminer.com/industries/Meat-
packing-plants-2011/
Retail grocery--food marketing institute book - http://www.fmi.org - 2003-2009 average: before tax ROE = 20.75%
Cattle--for the farm typology "cattle" meaning primarily cattle operations in USDA/ERS annual surveys -
http://www.ers.usda.gov/Briefing/ARMS/

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The U.S. is now a net food importer on a value basis
The largest firms in beef, pork, and poultry are now foreign owned:
It’s The National Security
issue no one is talking about!
Beef – Brazilian owned
Pork – Chinese owned
Poultry – Brazilian owned

AFTER PAYING $3 BILLION
TO SETTLE BRIBERY
AND CORUPTIONCHARGES,
THE BATISTAS ARE
STILL IN THER DRIVER’S
SEAT AT JBS S.A.

World News September 10, 2017
BRASILIA (Reuters) - Billionaire Joesley Batista, one of the
owners of JBS SA, the world´s largest meatpacker, and executive
Ricardo Saud surrendered on Sunday and were arrested by
Brazilian police, their lawyer said.

"What we support prospers, what we feed grows." -
MikeCallicrate.com
29

“…there is no stopping it
(concentration). This is an
evolution that’s going to take
place in spite of whoever
is in the way.”
Robert Peterson, IBP Chairman and CEO, July 1996
$20 Billion by 2001 article, in Meat and Poultry
30

What President
Reagan did to
antitrust law
enforcement in the
1980’s was the
equivalent of
We’re in the de-reg business!
referees declaring no-rules and leaving
the field in a football game. Cheating
was not only allowed, it was required to
win … and it still is!
http://nobull.mikecallicrate.com/2008/10/02/from-banks-to-bread-deregulation-is-the-seed-of-destruction/
“Government IS the problem!”

“Change is upon us, we can do nothing
about that [NAFTA].”
– President Clinton – Advocated Wall Street over main street,
management over labor, NAFTA, WTO and a world without borders.
“We need big companies that can do
business globally.”
– Dan Glickman - Clinton’s Secretary of Agriculture who ignored
meat packer concentration, market manipulation, predatory
practices, undue preferences and unjustly discriminatory practices.
Support for concentrated power, free trade
and globalization has been bi-partisan:

USDA is a stronghold for big
agribusiness, with headquarters
on the Mall in Washington DC.
- Lillian Salerno, former USDA Deputy Under
Secretary for Rural Development

Farmers and Ranchers
Eaters
BIG FOOD

Animal Husbandry has been replaced
with Animal Science

"If you have men who will exclude any of God's creatures
from the shelter of compassion and pity, you will have men
who will deal likewise with their fellow men."
- St. Francis of Assisi, Roman Catholic friar, founder of the Franciscans Order

The greatness of a nation can be judged by the way its
animals are treated. - Mahatma Gandhi

“Despite the intervening
century, with it’s dizzying
array of technological
advances and dramatic social
reforms, meat and poultry
processing early in the
twenty-first century is
regrettably reminiscent of
what Sinclair (The Jungle
1906) described early in the
twentieth.”

December 24, 2013 – The dirt cloud extended from Colorado Springs to the
Colorado/Kansas border north of Lamar. It was over a mile high (12,500 ft.
above sea level), 4 miles across, moving south at 50 mph – See The Dust Bowl
“A nation that destroys its soils destroys itself.”
– Franklin D. Roosevelt

49

Farmers and Ranchers
Eaters
THE RANCH FOODS DIRECT SOLUTION
BIG FOOD
51

How do we move from the destructive industrial
model of agriculture to one that regenerates our soils,
restores our health, and rebuilds our communities?
Image by Harry Greene

A better , more direct route for producers, and consumers wanting
to know where their food comes from…

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Slaughtering animals where they are raised means:
- More humane treatment
- Less stress means better quality meat
- 37% less weight transported to market
- Slaughter waste becomes valuable soil nutrients
- Increased rural employment

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Refrigerated trailer transports carcasses
from mobile unit to cut plant
MikeCallicrate.com

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Carcasses from mobile unit are
cut into primals and retail cuts.

63“What we support prospers, what we feed grows.” MikeCallicrate.com
Peak to Plains Food Hub in Colorado Springs
Building Community Around Local Food!

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“They sell things from somewhere else and take
the money away…everyday.”
- Francisco Chavez, Ranch Foods Direct delivery driver
The industrial food pantry is filled with…
• Human exploitation
• Animal suffering
• Environmental degradation
• Community destruction
• Family farm & rural decline
• Degenerative diseases

Your local family farm pantry is filled with…
Got a farmer? We’ll GROW your food!
Greenhorn Acres
• Love
• Good health
• Great taste
• Family meals
• Community
• Good stewardship
• Good husbandry
“Eating local means more for the local economy. A dollar spent
locally generates twice as much income for the local economy.
When businesses are not owned locally, money leaves the
community at every transaction.”
- Marcy Nameth, Arkansas Valley Organic Growers

Their grazing helps our dehydrating
planet retain moisture in the earth,
contributing to global water supplies.
Vandana Shiva – Winner of Monsanto’s “Bullshit” award

“Our cow dung is worth more
than your Wall Street stocks.”
-Vandana Shiva speaking to Hillary Clinton in India

Bones, including
skulls and feet
Finished manure, slaughter
waste compost
Orbit Screener
Biochar retort

MikeCallicrate.com
78
Connecting consumers with family farmers and ranchers

MikeCallicrate.com 82
Coming early 2018 ….
A giant "cluck you" to the chicken industrial complex.
‘Super-Size Me 2: Holy Chicken!’

“Industrial agriculture and Walmart are the
enemy! Don’t give an inch!”
Slow Food Nations, Denver 2017

UCCS September 12, 2017

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