The National Farmers Union (NFU) President Rob Larew said on Mar. 18 that the organization is disappointed with the U.S. Department of Agriculture’s Agricultural Marketing Service decision to delay the implementation of the Poultry Grower Payment Systems and Capital Improvement Systems rule from July 1, 2026, to December 31, 2027.
The delay affects a rule intended to address fairness in poultry contracting and payment systems for broiler chicken growers. The issue matters because many family farmers have raised concerns about tournament pricing and lack of transparency in their contracts with poultry companies.
“NFU is disappointed that USDA is delaying the implementation of its rule to increase fairness in poultry contracting and payment systems. Growers have long raised concerns about the unfairness of tournament pricing and the amount and quality of information provided to them by poultry companies. The rule establishes guardrails on the tournament system, giving producers more certainty and transparency so they can operate their farm businesses successfully,” Larew said. He added, “NFU is eager to see implementation of this long-overdue rule. Delaying it is a disservice to family farmers who deserve a fairer system.”
Broiler chicken growers currently operate under a tournament-style system where they compete against neighbors for better prices but often cannot avoid practices that may harm them or lack access to important contract information. The final rule announced by USDA’s AMS on January 9, 2025, aims to prohibit live poultry dealers from reducing compensation based on grower rankings, require fair comparison among growers, and mandate disclosure documents when capital investments are required.
The NFU represents more than 220,000 family farmers and ranchers through its 24 state and regional divisions according to the official website. The organization supports family farmers by promoting education, advocacy, cooperative initiatives, fair markets, conservation efforts, and community programs while operating through a democratic grassroots structure according to the official website. NFU has also influenced national organic standards for sustainable farming methods according to the official website.
The broader impact of this delay could affect rural communities’ economic opportunities as well as ongoing efforts for fair market practices according to the official website. As NFU continues its advocacy work at local and national levels according to the official website, observers will watch how quickly these rules are finalized and implemented.
