"Either we stop the trend toward vertical integration or we prepare for the inevitable "chicken-ization" of the pork industry," Grassley said. "It's very important that we sustain a place in the market for the independent pork producer and the family farmer."
Grassley's bill will make it unlawful for any packer with an annual slaughter capacity of more than 20 million swine to slaughter more than 10 million packer-owned swine in any calendar year. Grassley noted that the pork industry is at a critical juncture due to the impending sale of Farmland's pork division.
"This bill will at least limit the cancerous growth of vertical integration until we can pass a cure," Grassley said.
Grassley is a senior member of the Judiciary Committee, where he has taken legislative action and conducted aggressive oversight for a more competitive environment for family farmers amid growing concentration in agriculture. Grassley has introduced legislation to ban packers from owning livestock seven days prior to slaughter. The legislation passed the Senate twice, but was never included in a final agreement between the House and the Senate.
Grassley also wrote to the Assistant Attorney General, Antitrust Division of the Justice Department expressing his continued concerns with increased consolidation in the agricultural sector and its impact on rural America following the announcement of the Smithfield bid of Farmland in early July.