Cattlemen Worry about Faulty Values

May 18, 2001

The National Cattlemen's Beef Association has contacted USDA about announced changes in the USDA "choice" and "select" cutout values for Monday and Tuesday. Previous values that were reported for those days were incorrect because of a programming error. Prices for "no-roll" product were apparently being incorporated into both the choice and the select cutout values, said NCBA.

"At this time it is not known how long the programming error has been in effect," NCBA said. "USDA is reviewing all cutout values from April 3 through May 11. Any additional revisions will be reported by May 23, and NCBA will distribute that information as it is released. "

The cattlemen said they understood the "frustration and outrage among producers resulting from potential losses associated with this reporting error. Given time that was allowed to beta test the reporting system a basic programming error of this type is uncalled for. We have talked to USDA by telephone and have requested a face-to-face meeting as soon as possible with all the principals to discuss how the situation can be rectified."

USDA's Agricultural Marketing Service announced Thursday that "due to a technical error in the computer program for the ... mandatory price reporting system," the boxed beef cutout and primal cut values reported in the national daily boxed beef cutout and boxed beef cuts reports for April 3 through May 11 "may have been incorrectly calculated."

AMS is recalculating the boxed beef cutout values from April 3 through May 11, and primal cut values from April 3 through May 15. Corrections of boxed beef cutout values for May 14 through 15 have been issued. The calculations for boxed beef cutout and primal values beginning May 16 are correct.

Boxed beef cutout and primal cut values may be accessed at http://www.ams.usda.gov/lsg/mncs/ls_mpr.htm.