Thousands of producers prefer to sell cattle through marketing agreements, rather than in the cash market. The decisions in this case allow them to continue this practice, which they believe is more efficient and rewards them for raising cattle that produce the beef consumers demand.
We are gratified by the Supreme Court's decision in this case. This means U. S. cattle producers will continue to have the freedom to market cattle the way they want. It also proves our livestock buying practices are proper.
The beef segment suffered from low capacity utilization and declining boxed beef prices. The negative effect of high live cattle prices and lower sales was made worse by interruptions in export markets.