Both R-CALF USA and the National Farmers Union are welcoming USDA’s guidance document on how the department will enforce the final rule on Undue and Unreasonable Preference and Advantages under the Packers and Stockyards Act. R-CALF CEO Bill Bullard says that document corrects what the previous administration had done to give packers a safe harbor from adhering to the Packers and Stockyard Act competition guidelines.

He says in addition, the USDA is also coming out with three new rules regarding the Packers and Stockyards Act which should help improve competitiveness in the cattle markets.

Bullard says his group is also pushing for a legislative fix to the cattle market competitiveness problem which complements the rules USDA is working on. He says they’re advocating for passage of the Grassley Tester 50-14 bill.

Under the Grassley Tester legislation, packers would be required to purchase 50 percent of their cattle from the spot market in a 14 day period.