WASHINGTON — New legislation to increase meat processing capacity and competition was introduced by US Senators Michael Bennet (D-Colo.) and Jerry Moran (R-Kan.). The Butcher Block Act would create funding opportunities through the US Department of Agriculture (USDA) for small and mid-sized operators.
By supporting independent meat processors, the legislators hope to also strengthen local food systems as a whole and lower prices for consumers.
“High prices don’t just drive up price tags at the grocery store, but also result in higher input costs for ranchers and meat processors,” Moran said. “Providing resources to allow smaller processors to upgrade and expand their operations will make it easier for ranchers to bring their cattle to market. This legislation will help eliminate waste, support small businesses and provide consumers with more affordable options at the grocery store.”
Bennet said livestock production sits at the heart of the nation’s $47 billion agriculture sector, and he looks to make it easier for producers to bring their animals to market.
The bill focuses on the following:
- Improved competition and capacity in rural areas by authorizing USDA loans and loan guarantees to increase and modernize small and medium meat processing and rendering facilities.
- Eligibility for cooperatives that are producer-owned and eligible for refinancing.
- A new USDA grant program to expand, diversify and increase resilience in meat processing and rendering facilities by helping facilities receive technical assistance to manage and train a new workforce; helping small and medium-sized facilities achieve compliance with state and federal regulations; and developing new innovative or mobile facilities to improve local and regional access to processing and rendering services.
In January, Representatives Abigail Spanberger (D-Va.) and Dusty Johnson (R-SD) introduced the Butcher Block Act’s companion bill.
Several stakeholders voiced their support of the Butcher Block Act, including the US Cattlemen’s Association (USCA) and the North American Renderers Association.
“USCA thanks Senators Moran and Bennet for their support and sponsorship of the Butcher Block Act of 2023,” said Justin Tupper, president of USCA. “This legislation would give USDA the tools they need to diversify and increase resilience in our nation’s food supply system.”
“While Congress and the Administration have previously provided funding and support for the expansion of our country’s meat and poultry processing capacity, this bill is the first of its kind that acknowledges the critical role of rendering as the safe and sustainable method of upcycling the parts of the animal and birds that are not consumed by humans,” said Kent Swisher, president and chief executive officer of the North American Renderers Association.
