First Round of Meat Industry Investments Announced

As part of the effort to increase competition and capacity in the meat industry, 21 grant projects are receiving $73 million in support. The investment is part of the first round of the Meat and Poultry Processing Expansion Program. U.S. Department of Agriculture (USDA) Secretary Tom Vilsack announced that the grant funding will support producer income and strengthen the food supply chain. Other similar investments include $75 million for eight projects through the Meat and Poultry Intermediary Lending Program. An additional investment of $75 million is being used for four projects through the Food Supply Chain Guaranteed Loan program.

“Since President Biden laid out a commitment at the start of this year, USDA has worked tirelessly to give farmers and ranchers a fair chance to compete in the marketplace,” Secretary Vilsack said in a press release. “By jumpstarting independent processing projects and increasing processing capacity, these investments create more opportunities for farmers and ranchers to get a fair price.”

The investments being made are part of the Biden-Harris Administration’s Action Plan for a Fairer, More Competitive, and More Resilient Meat and Poultry Supply Chain. Resources are being dedicated to support the expansion of independent processing capacity and in turn, help lower costs for consumers and create economic opportunities in rural areas. Industry groups have been largely supportive of the efforts to try and address issues of competition in the meat industry.

“For decades, consolidation in meat processing has put the squeeze on farmers, ranchers, and consumers while corporate monopolies rake in record profits. Today’s announcement is another step toward putting control and profitability back in the hands of farmers, ranchers, and our communities,” said Natinoal Farmers Union President Rob Larew. “More competition across the ag economy is a good thing and it’s great to see Secretary Vilsack and the administration making diversified, local and regional food systems a priority.”