September 28, 2007
September 28, 2007 - On Tuesday, the U.S. Department of Agriculture's (USDA) Agricultural Marketing Service (AMS) issued its final invitation to sell frozen lamb products in this round of LS-130 lamb buys. AMS announced that it purchased 216,000 pounds of lamb products at a cost of approximately $665,000 for distribution to federal food and nutrition programs.
Three vendors bid in this invitation period and all were awarded contracts. Purchases will be made from Iowa Lamb, Hawarden, Iowa; Mountain States Rosen LLC, Greeley, Colo.; and Transhumance Inc., Denver, Colo.
The American Sheep Industry Association's request of the $5 million lamb roast purchase program was approved by Secretary of Agriculture Mike Johanns in April 2006. The program extended for 18 months and expires at the end of September 2007, which is the end of the 2006-2007 fiscal year. AMS moved quickly to assure one last invitation period before the program terminated by taking bids and announcing the recipients all within a few days.
"We appreciate the fortitude of the agency to provide one last announcement prior to the conclusion of the program," commented Peter Orwick, ASI executive director. "The inclusion of the bid provides an additional opportunity for processors to sell product and to move additional inventory during non-peak seasons."
Any future frozen lamb buy programs will again need the approval of the secretary of agriculture. These programs are provided to industries when USDA perceives there is a need as determined by inventory levels and market prices. Staff contact: Peter Orwick, ext. 33