News March 2019

US: Legislation withdrawn as potato contract talks with fried-products processors brighten

The Southern Idaho Potato Cooperative has withdrawn legislation governing negotiations with processors after reaching a contract that will provide a 3% price increase to growers, according to a report by Capital Press.

House Bill 121 would have put into statute practices that grower associations and fried-products processors have used for 50-plus years to negotiate supply contracts. The legislation would have established an Oct. 31-March 15 negotiating period for associations and processors, and allowed individual grower members to negotiate only if no agreement is reached by the time the period passes.

The bill was prompted by a processor recently dealing directly with individual growers, circumventing the co-op’s talks and potentially reducing prices.

“We withdrew it,” SIPCO Executive Director Chuck Stadick said of the bill. “That does not mean it is dead. It was just withdrawn from a (full) House vote and Senate vote.”

Read the full article in Capital Press