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Activist Group Challenging FSA Loans to Contractors

12/20/2022

Concerned Citizens of West Tennessee a group, obviously opposed to intensive livestock production, has filed suit against the USDA in Tennessee challenging grants extended to independent contract growers. The organization claims that since growers are contracted to Tyson Foods, they are not “family farms” as defined by the Farm Service Administration (FSA).

 

The outcome of the lawsuit may have profound implications for contract production.  It is generally accepted that contract growers are independent farmers, since they are responsible for their loan repayments, provide labor, housing and utilities and operate their farms under contracts that can be terminated by either party.

 

The outcome of the lawsuit will depend on whether the court recognizes the standing of Concerned Citizens of West Tennessee to bring suit against the USDA and whether contractors are de jure independent from integrators.

 

The relationship between contract growers and integrators has benefitted both parties over decades and has made available relatively inexpensive protein for both domestic consumers and for export.  The lawsuit is mean-spirited, xdestructive and is basically intended to impact intensive poultry production to the disadvantaged of all stakeholders including growers, integrators, workers, retailers and consumers.