Little man could have more say in fairness rules | News, Sports, Jobs

Submitted photo: In addition to the related legal maneuvers, the USDA has also taken other steps to ensure more market fairness in the highly consolidated livestock and meat production industry, including funding more local processing opportunities. Photo by Adobe Stock.

From North Dakota to Texas, farm-raised beef goes through a production process controlled by four major companies, and independent ranchers hope a proposed federal bill will give them more leverage if they feel they’ve been cheated.

The U.S. Department of Agriculture said the plan unveiled last week would provide clarity on unfair market practices under the Packers and Stockyards Act.

Aaron Shier, director of government relations for the National Farmers Union, said in the past some courts have said it must be proven that the broader market is being harmed. He noted that the update addresses the issue within the framework of long-standing law.

“It contains many elements of producer protection,” Said Shier. “Over the long history of this law, this has become increasingly confusing and unclear. And that is why this bill is intended to provide clarity on this issue.”

Supporters said it would not only help prevent smaller farmers from going bankrupt, but potentially give consumers a fair price for meat and poultry. Industry groups like the Meat Institute criticize the move, saying it would set meat production back decades by encouraging litigation and actually hurting consumers.

The institute also questioned such efforts as cattle prices are at record levels. Shier said there are concrete examples of questionable tactics beyond current market dynamics.

“Non-payment,” Said Shier. “When a meatpacker or anyone in the market doesn’t pay a producer, that’s something the USDA consistently takes action against.”

With more clarity in the law, policy analysts say, court decisions could become more consistent when individual farmers fight back against an industry giant. Shier noted that the ultimate goal is to avoid lawsuits with this and similar actions the USDA has recently taken, setting the tone to encourage market competition. A public comment period is the next step before the rule becomes final.