The C-M-E group is conducting a review of the Worthing,South Dakota delivery point for live cattle. Under their proposed rule, C-M-E will implement a seasonal discount of $ 1.50 per hundredweight to live cattle delivered during October to Worthing, South Dakota. South Dakota Cattlemen’s President Todd Wilkinson says Worthing is being singled out for this rule as no other delivery points are effected.
He says what that means is that basis will be reduced for South Dakota, Iowa, Minnesota and Nebraska.
Wilkinson says there is no reason to penalize a delivery point that is not significantly further from packers and yet that is what this proposed CME rule is doing.
Wilkinson says his group stands firmly against singling out one delivery point for discount simply because CME feels it is underperforming. He’s urging the CME to extend the March 7 comment deadline to at least mid to late March to allow time for producer stakeholders to review and comment on the proposal.
To file comments with CME, you can go to SDcattlemen.org.
