March 17, 2020

USDA will continue to staff slaughterhouses with inspectors during COVID-19 outbreak

US meat industry groups are concerned over possible shutdowns caused by COVID-19 will affect livestock prices and generate food supply fears, reported Reuters.

The US Department of Agriculture (USDA) said it will use its authority and exhaust all administrative measures to tackle staff issues during the COVID-19 oubreak.

Livestock markets have been impacted by the COVID-19 outbreak, which affects the workers that meat industry companies depend on for meat processing and inspection.

Prices are expected to drop for swine and cattle if COVID-19 forces US meat companies like Tyson Foods and Smithfield Foods to stop operating their slaughterhouses. A potential shutdown will take away markets where farmers sell livestock and threaten meat supplies.

Colin Woodall, National Cattlemen's Beef Association chief executive said the USDA informed the association that it will have reserve USDA inspectors prepared for slaughterhouses if required. A USDA agency employee had tested positive for COVID-19.

Sanderson Farms said it is able to process additional chickens for retail if required and assured that none of its staff or farmers have contracted COVID-19.

Jess Peterson, the United States Cattlemen's Association senior policy advisor said the associated has urged the USDA to lower staff requirements for meat inspectors so as to prevent disruptions to supply if it was affected by COVID-19.

Peterson added that the USDA is reviewing the markets for anticompetitive behaviour, as April live cattle futures have fallen 14% in March 2020 due to concerns over COVID-19 potentially closing slaughterhouses.

-      Reuters