January 28, 2023

US Congress representatives propose bill to increase competition in the meatpacking industry

US Congresswoman Abigail Spanberger and US Congressman Dusty Johnson have proposed the "Butcher Block Act", which would help reallocate the US cattle market by establishing a permanent grant and loan program at the US Department of Agriculture (USDA) for new and expanding meat processors to drive competition within the meatpacking sector, DC News Now reported.

Spanberger, who serves as the US representative from Virginia state's 7th congressional district, said producers of livestock and poultry contribute millions of dollars to the local economy in Virginia, but market consolidation puts pressure on these important sectors.

Spanberger said this proposed bipartisan legislation would support the US meat industry, increase market opportunities for small American producers, and reduce grocery costs for families in Virginia state by allocating new USDA assistance for regional processors to increase their operations.

She said she is proud to have led the introduction of this legislation together with Congressman Johnson, and looks forward to continuing to build bipartisan support for keeping American poultry and cattle producers competitive in the global agricultural market.

She said small meatpackers will have increased capacity thanks to the "Butcher Block Act," which will also spur healthy competition and lead to a more stable market.

Other benefits to the new act include assisting newly established or expanded meat or livestock processors to enhance marketing options for producers of livestock, promote competitive markets, and create better opportunities for producers of livestock.

The act also aims to create a USDA rural development grant programme for qualified organisations to help with planning and compliance for new construction or expansion.

-      DC News Now