Poultry Grower Payment Systems and Capital Improvement Systems

Docket Number: AMS-FTPP-22-0046
Comments Due: August 9, 2024


The Poultry Grower Payment Systems and Capital Improvement Systems proposed rule would (1) prohibit payment practices that reduce or discount payment rates in a contract under poultry grower ranking systems (commonly known as tournaments) used in contract poultry production for broiler chickens, (2) establish a duty of fair comparison to ensure that grower comparisons are conducted in a reasonable and equitable way that does not disadvantage specific growers and requires live poultry dealers (LPDs) to adopt policies and procedures in furtherance of operating a fair ranking system for broiler growers, and (3) requires LPDs to provide certain information to broiler growers when the LPD requests or requires the grower to make additional capital investments to guard against deception and to enable USDA to better enforce existing prohibitions on unfair additional capital investments adopted in 2011 (9 CFR 201.216).  In addition, the proposed rule also highlights the importance USDA and the Department of Justice’s ongoing efforts to enforce the Packers & Stockyards Act prohibition on unfair practices through case-by-case enforcement. AMS intends for the proposed regulations to address unfairness and deception in broiler grower payments, tournament operations, and capital improvement systems.

Submit Comments

Interested persons are invited to submit comments concerning this notice by using the electronic process available at https://www.regulations.gov/ . All comments should reference the document number and the date and page number of this issue of the Federal Register . All comments submitted in response to this notice will be posted without change, including any personal information provided, at https://www.regulations.gov/ and will be included in the record and made available to the public.


S. Brett Offutt, Chief Legal Officer/Policy Advisor, Packers and Stockyards Division, USDA AMS Fair Trade Practices Program, 1400 Independence Ave. SW, Washington, DC  20250; Phone: (202) 690-4355; or email: s.brett.offutt@usda.gov.

Supporting Documents