President Biden aims to expand competition at the packing house door

Jan 7, 2022  | 2 min  | Ep4721

U.S. dairy producers got a win this week in a trade dispute with Canada. A USMCA mediation panel ruled Canada violated their allocation of tariff-rate quotas for U.S. exports of dairy products. The first-ever USMCA enforcement action should help American producers benefit from expanded market access.

U.S meat producers are looking for options on places to take their animals. This week, the Biden Administration announced a plan to widen options for locations beyond the big four packers.

John Torpy reports. torpy@iowapbs.org

President Joe Biden, United States: “I've said it before, and I'll say it again: capitalism without competition isn't capitalism. It's exploitation.” 

This week President Joe Biden announced the allocation of $1 billion to advance expansion of small to medium-size meat packers and processors. 
President Joe Biden, United States: "Strengthening competition is good for all of us. Farmers and ranchers deserve a fair shake. American families facing high prices at grocery stores deserve a fair price to put food on the table.”

With funds from the American Rescue Plan Act of 2021, USDA plans to bolster the competitiveness of small and medium sized meat processors by assisting with equipment and infrastructure upgrades. Administration officials also seek rule changes to the Packers and Stockyards Act to increase price transparency.
Secretary Vilsack has made repeated trips to Capitol Hill for hearings on the state of the meat processing industry. Beef, pork, and poultry producers have continuously raised concerns about financial disparities between farmers and ranchers and the top four meat processors, Cargill, Tyson, JBS, and National Beef Processing. According to the president’s National Economic Council, meatpackers saw record profits in 2021, as their margins have risen 50 percent and net profits 300 percent since the beginning of the pandemic. 
For Market to Market, I’m John Torpy

More from this show

Grinnell Mutual Insurance
Sukup
Accu-Steel
Pioneer