WASHINGTON – US Senators Ben Ray Luján (D-NM) and Joni Ernst (R-Iowa) proposed a bipartisan bill that looks to remove regulations that restrict the increase of meat processing capacity and allows livestock auctions to invest in small and regional packing facilities.

“Lowering costs for New Mexicans and increasing competitiveness for local producers will support local economies and livelihoods — especially in our rural communities,” Luján said. “I’m proud to partner with Senator Ernst to reintroduce this bipartisan legislation to remove outdated regulations that hinder producers’ ability to increase livestock processing capacity. This is a priority for New Mexico, and I will continue to advocate for it in the Farm Bill.”

The Expanding Local Meat Processing Act also received support from US Representatives Mark Alford (R-Mo.), Jimmy Panetta (D-Ca.), and Dusty Johnson (R-SD) who will lead companion legislation. The House bill is called the Amplifying Processing of Livestock in the United States (A-PLUS) Act.

If passed, the legislation would direct the Secretary of Agriculture to amend the Packers and Stockyards Act and allow livestock auction market owners to hold ownership, finance or manage a meatpacking plant.

The amendment would allow the owners to work with a facility that holds a cumulative slaughter capacity of less than 2,000 animals per day or 700,000 animals per year. This cap would exclude investment in the top 10 meat packers.

“Removing outdated regulations that hinder the livestock industry should be a no-brainer,” Ernst said. “Allowing livestock auction markets to invest in small meat processing facilities will reduce market consolidation, decrease reliance on federal funding, and provide small producers with much-needed processing options. I’m proud to strengthen local food systems, increase competition, and ultimately lower meat costs for consumers through this effort.”

Luján and Ernst proposed this legislation for the first time in 2022 to help provide more options for small meat operations.