NPPC criticizes new USDA livestock market rule
The National Pork Producers Council (NPPC) has voiced its concerns regarding the USDA's proposed "Fair and Competitive Livestock and Poultry Markets" rule, which they argue could lead to detrimental effects on the pork industry.
The rule, intended to enforce fair practices, is seen by NPPC as potentially increasing frivolous litigation and creating market instability.
NPPC’s submission underscores their commitment to fair market practices under the Packers and Stockyards Act (PSA), but they contend that the USDA's approach with the proposed rule is overly broad and lacks clarity. This ambiguity could lead to a surge in legal disputes, particularly impacting independent hog farmers and pork processors.
Additionally, the rule proposes eliminating the requirement to demonstrate "harm to competition" in PSA claims, a move NPPC believes oversteps USDA’s authority and contradicts established legal precedents and legislative decisions.
They argue that such a change would unnecessarily burden the pork industry with litigation, at a time when many are still recovering from recent economic setbacks.
NPPC also noted that existing federal and state laws already encompass many of the protections the proposed rule seeks to enforce, questioning the necessity of this new regulation. They urge USDA to reconsider the proposed changes, aiming to protect the industry’s health and competitive edge without imposing excessive legal risks.
By engaging in this discourse, NPPC seeks to safeguard the interests of pork producers and ensure that regulatory frameworks do not hinder their operations or market competitiveness.