Bankers support growth in Nebraska's livestock industry
By George Beattie | 7/10/2007

Challenges to one of our state's most important economic engines have come with more frequency over the last several years. Growth in the livestock feeding industry has all but come to a standstill because we as a state have chosen to no longer embrace a mainstay of our economy. This lack of acceptance is just one of the many hurdles that livestock producers now face as they seek to grow their business and compete in a world economy.

The livestock industry is a $7.2 billion economic engine for Nebraska. It is absolutely vital to the overall economic growth of our state. “Growth” means new tax revenues, new jobs and new opportunities for ag-related businesses, as well as the small-town shops that do business on the main streets of our rural communities.

We have witnessed declines in various sectors of the livestock industry in recent years. For example, the total number of hogs and pigs in the state has declined by more than 30 percent since the mid-1990s, while the number of dairy cows has fallen by more than 35 percent since the 1980s.

These declines have a significant impact on our economy—after all, every hog and cow consumes grain and feed, requires labor and needs shelter. They also require transportation, processing and marketing. Every dollar spent in raising livestock and poultry is multiplied many times over. You take away that first dollar, and the others go away, too.

Why have some sectors declined and others remained stagnant? “Credit” goes to well-organized coalitions that have been formed to oppose the expansion of the livestock industry. In many cases, misinformed neighbors have allied with organized opposition to use whatever means available to block even modest expansion proposals.

A-FAN to the rescue! The Alliance for the Future of Agriculture in Nebraska (A-FAN) was born out of the need to assist producers who desire to grow their operations. Dealing with complicated zoning laws and procedures, permitting processes and the challenges of organized opposition are outside the realm of expertise for many producers. A-FAN stands beside producers, walking them through the entire process before they even begin. In doing so, A-FAN helps producers make better decisions regarding siting, expansion and public relations—and prepares them to deal with the challenging process as a whole.

Through the ever-changing demands of agriculture, we want producers to know that they can continue to depend on their Nebraska banker. The banking industry believes in the future of the livestock industry and supports A-FAN in its efforts to assist in the responsible growth of the livestock industry in our state.

George Beattie is president of the Nebraska Bankers Association, which is based in Lincoln, Neb.