Omaha: Biden Administration plans to issue new rules to protect the rights of farmers who generate cattle, chicken, and pigs on the largest meat processor in the country as part of a plan to encourage more competition in the agricultural sector.
New rules that will make it easier for farmers to demand that their companies contract with unfair, discriminatory or cheating practices are one of several steps that plans the White House to be announced in the next few days.
The US Department of Agriculture (USDA) is also expected to tighten the definition of what meat means labeled “USA products” to be excluded when animals are raised in other countries and processed in the United States.
Some farmers’ advocacy groups have suppressed these changes for several years but the congress and the meat processing industry has opposed changes in the past.
A USDA official who is familiar with the White House’s plan said that the executive order is expected to be announced this weekend which will clear the way for new rules.
Regulations that will make it easier for farmers to bring complaints under the Packers and Act Stockyards similar to one trump administration killed four years ago.
The rule was first proposed in 2010.
At present, several court decisions have interpreted federal laws that say a farmer must prove the actions of the company endanger competition throughout the industry before the lawsuit moves forward.
New rules will ease high evidence burden.
Manufacturers of Chicken and Pigs, for example, must often enter a long-term contract with companies such as Tyson’s food and pride of Pilgrim that farmers accuse them into transactions that improve low levels and force them in depth.
Previously, the main meat company had defended a contract system calling for farmers to provide barns and labor to lift chickens while the company provides chicks, feed and expertise to help increase the birds fair.
When the previous rule was killed in 2017, the National Chicken Council trading group said it would open the industry to flood it “reckless and expensive litigation.” The USDA also plans to review the definition of what meat means labeled “USA products” under the rules.
At present, companies are permitted to use labels whenever meat is processed in the United States even if animals are born and raised in other countries.
USDA officials said that today most beef hunting grass labeled as made in America actually originated from imported livestock.
Tom Vilsack’s agriculture secretary said he wanted the label to accurately reflect what consumers expect when they read it.
The Ministry of Agriculture also plans to invest in the new local and regional markets, so farmers will have more choices where to sell animals and plants they collect.
The critics say the main meat processing company dominates the market for livestock, pigs and chickens, which makes it more difficult for farmers to get reasonable prices for animals they ask.
The executive order this week is expected to follow the early spring announcement that the USDA plans to strengthen protection for farmers under the law and encourage more competition in the livestock market.