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USDA to Tighten Protections for Contract Farmers

USDA to Tighten Protections for Contract Farmers

By Nadia Ramlagan

The U.S. Department of Agriculture is finalizing rules aimed at increasing protections for contract farmers who grow the nation's poultry and cattle for giant meatpacking corporations.

Supporters of the changes said they will result in fairer pay for farmers and reduce deceptive and discriminatory industry practices, particularly against farmers of color.

Aaron Johnson, manager of the Challenging Corporate Power Program at the Rural Advancement Foundation International-USA, explained the rules involve updating transparency standards in the poultry industry and leveling the field for contract farmers to publicly advocate for better deals or speak out to the media on unfair practices.

"Most poultry growers, the vast majority of poultry growers, they don't own the chickens that are on their farm," Johnson explained. "Really, what the farmer is providing is the labor to take care of the chickens while they're on the farm."

Johnson pointed out livestock and poultry companies have a hard lobbying grip in Washington, noting a decade ago, the USDA attempted similar reforms but was blocked by Congress in finalizing or implementing them. Opponents of the new rules argued they could harm industry efforts to improve sustainability.

Johnson explains meatpacking corporations currently offer advantages to certain contract farmers over others, and with little oversight.

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What Does 20 MILLION Hogs a Year Look Like?

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?? The Multi-Plant System Processing 20 Million Hogs Annually in the Midwest JBS USA operates multiple large-scale pork processing facilities across the Midwest, including major plants in Iowa, Minnesota, and Indiana. Combined, these facilities have the capacity to process approximately 20 million hogs annually.

Each plant operates high-speed automated slaughter systems capable of processing up to 20,000 head per day, followed by fabrication lines that break carcasses into primals, sub-primals, and case-ready retail products.

Hog procurement is coordinated through electronic marketing platforms that connect regional contract finishing operations and independent producers to plant demand schedules. This digital procurement system allows for steady supply flow and scheduling efficiency across multiple facilities.

Processing plants incorporate comprehensive food safety systems, including pathogen intervention technologies, rapid chilling processes, and integrated cold-chain management. USDA inspection is embedded throughout the harvest and fabrication stages to ensure regulatory compliance and product integrity. Finished pork products — from bulk primals to retail-ready packaged cuts — are distributed through coordinated logistics networks serving domestic and export markets.