LMA Applauds Bill to Allow Livestock Auction Investment in Small and Regional Packers
Livestock Marketing Association (LMA) applauds Congressmen Mark Alford (R-Mo.), Jimmy Panetta (D-Calif.), and Dusty Johnson (R-SD) for introducing the Amplifying Processing of Livestock in the United States (A-PLUS) Act. If enacted, the bill would remove an outdated regulatory barrier and allow livestock auction market owners to own or invest in small and regional meatpackers.
The Administration, Congress, and the livestock industry agree there is a need for increased packer competition and additional processing capacity. Currently, livestock auctions owners are not able to own, invest, or participate in the operation of a packing plant or meat marketing business due to dated Packers and Stockyards Act restriction. This prohibition falls under a 102-year-old law and predates the current, transparent method of selling livestock at an open auction to the highest bidder. The A-PLUS Act is essential in removing this unnecessary barrier to cattle industry investment in the packing sector. The bill would allow livestock auction owners to own or invest in cattle and hog packers smaller than the current ten largest packers.
“We greatly appreciate Congressmen Alford, Panetta, and Johnson introducing the A-PLUS Act,” said LMA President and owner of Kentucky-Tennessee Livestock Market Mark Barnett. “Livestock auction markets, like mine, are in the competition business. Allowing livestock auction owners to invest in small and regional packers will create competition against large packing entities that already exist. The A-PLUS Act could spur additional capacity and especially additional packers to increase competition and improve profitability for producers.”
If you have questions about the A-PLUS Act, please reach out to Chelsea Good, Vice President of Government and Industry Affairs & Legal at cgood@lmaweb.com or 816-305-9540.
