AMS Withdraws Proposed Rule, Fair and Competitive Livestock and Poultry Markets
What: On January 16, 2025, the Agricultural Marketing Service (AMS) published a withdrawal of proposed rulemaking and termination of rulemaking proceeding for the proposed rule Fair and Competitive Livestock and Poultry Markets.
Why: The proposed rule was originally published on June 28, 2024, and sought to specify general practices that are unfair and in violation of the Packers and Stockyards Act, 1921 (P&S Act). The proposed rule defined unfair conduct to include harm to market participants and harm to the market.
According to the withdrawal, AMS received 13,241 public comments on the proposed rule during the 75-day comment period, which closed on September 11, 2024. AMS states the comments were submitted or signed by producers, processors, industry trade organizations, farmers’ coalitions, advocacy organizations, government entities, and a variety of other interested parties. AMS further states that the topics that garnered considerable attention in the comments included questions of legality and authority surrounding the proposed rule, potential impacts to the market and market participants, potential economic impacts of the proposed rule, potential changes to and ramifications of legitimate business justifications, and countervailing benefits.
AMS states that while it continues to support the intent and purpose of the proposed rule to increase competition and clarify the unfair practices prohibited under the P&S Act, based on the considerable feedback it received through the public comment process, AMS has determined it appropriate to withdraw the proposed rule. AMS believes that withdrawing the rule both preserves its ability to re-examine these important issues in the future and enables the agency to explore with stakeholders how best to implement the requirements of the P&S Act.
Action: Read the withdrawal notice.
Advocacy contact: Send an email to Shanerika Flemings at shanerika.flemings@sba.gov.