Today President Biden signed an Executive Order on Promoting Competition in the American Economy. It includes the agriculture sector.
- He intends for the Department of Agriculture to toughen enforcement of the Packers and Stockyards Act by making rules that clearly identify unfair and unjust practices, reinforce the interpretation that a violation of the act doesn’t need to show harm to the whole industry – just one farmer is enough, dial back the practice of poultry companies controlling every aspect of a contract farmer’s operation while the farmer shoulders all the risk, updating the definitions and criteria for determining what is unfair under the Act, and shore up anti-retaliation protections for complainants under the Act. (The USDA had already announced on June 11 that it would begin work on the Packers and Stockyards Act.)
- He wants the USDA to fix country of origin labeling so consumers can tell where their food is from.
- He has directed the Department “to devise a plan to ensure that farmers have greater opportunities to access markets and receive a fair return for their products.” The order includes a list of suggested ways of doing this and ends with, “any other means that the Secretary of Agriculture deems appropriate.”
- In an attempt to ” to improve farmers’ and smaller food processors’ access to retail markets,” he is asking for a report on the effect of retail concentration “including any practices that may violate the Federal Trade Commission Act, the Robinson-Patman Act (Public Law 74-692, 49 Stat. 1526, 15 U.S.C. 13 et seq.), or other relevant laws” and also on “on grants, loans, and other support that may enhance access to retail markets by local and regional food enterprises.”
- And he’s ordered a report on ways in which intellectual property rights may “unnecessarily reduce competition in seed and other input markets.”
