The comment period for proposed rules issued by the Grain Inspection, Packers and Stockyards Administration ends Nov. 22. It’s urgent that all pork producers make their comments very soon, says Sam Carney, president of the National Pork Producers Council.

“The proposed GIPSA rule is a nightmare for the U.S. pork industry,” says Carney. “Under the proposed rules, pork producers will not be able to obtain the risk management tools they need to run their businesses.” According to Carney, the terms contained in the proposed rule are vague and undefined and if passed as written, will add to the costs of buying and selling hogs, increase the risk of litigation and lead to more vertical integration in the pork industry.

Carney urges pork producers to send in their comments to express their concerns and thoughts on the proposed rules. “We as an industry have to let them know how we feed about this proposed rule,” he adds. “If you haven’t done it yet, please make your comments today.”

The recent mid-term election may affect final wording or delay implementation of the rule. “There will be a new chairman of the U.S. House agriculture committee but it is very tough to predict how that will shake out,” says Ron Plain, University of Missouri agricultural economist. “It may be late-winter before we have a decision on a final rule.”
 
If passed without changes, Plain predicted the proposed rule would be challenged. “If the final rule is very close to the proposed rule, there will be a law suit filed quickly which will tie it up further,” Plain said.

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See also Economic Study Reveals Burdensome Cost of GIPSA Rule