By Jamie Martin
The National Chicken Council (NCC) is voicing strong opposition to a proposed rule from the US Department of Agriculture (USDA) that would regulate contracts between chicken companies and the farmers who raise their birds.
The rule, titled "Poultry Grower Payment Systems and Capital Improvement Systems," aims to establish new standards for these contracts.
The NCC expresses concerns that the proposed regulations are unnecessary and could have negative consequences for both the industry and consumers.
NCC President Mike Brown argues that the rule would create rigid and inflexible requirements, stifling innovation and potentially leading to higher production costs. These increased costs, Brown fears, would ultimately be passed on to consumers in the form of higher chicken prices.
The NCC warns that the regulations could lead to job losses in the chicken industry. Brown suggests that some farmers may be forced out of business due to the additional burdens imposed by the rule.
The NCC also criticizes the administration for what they perceive as attempts to shift blame for rising food prices onto the shoulders of the poultry industry. Brown argues that the administration's own policies are more to blame for grocery price inflation.
The National Chicken Council plans to submit formal comments opposing the proposed rule, outlining their concerns and advocating for a less restrictive approach.
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Categories: National