USDA Launches Small Processors Action Plan, Announces $60 Million in Funding for Expansion Program

WASHINGTON, D.C. — The United States Department of Agriculture (USDA) announced the launch of the Small Processors Action Plan, a new set of actions that the agency said aims to better support small and very small meat and poultry processing plants, improve customer service and reduce regulatory challenges while maintaining strong food safety protections for consumers. Additionally, USDA announced it is accepting applications for the fourth round of the Meat and Poultry Processing Expansion Program to expand American meat and poultry processing.

Both the Small Processors Action Plan and the additional $60 million in funding for the Meat and Poultry Processing Expansion Program build on USDA’s Plan to Fortify the American Beef Industry, the agency said. 

Small Processors Action Plan:

Small and very small plants make up the majority of federally inspected establishments and play a critical role in local economies, rural communities and the resilience of the nation’s food supply, USDA reported. These actions, the agency said, are designed to make it easier for these businesses to interact with the agency, get timely answers and resolve issues without weakening inspection or food safety standards.

USDA said it will begin rolling out these improvements immediately and will continue engaging with small and very small plants to ensure the changes are effective and responsive to real-world needs.

Meat and Poultry Processing Expansion Program:

The USDA Rural Business and Cooperative Service published a Notice of Funding Opportunity (NOFO) for $60 million to fund a fourth phase of the Meat and Poultry Processing Expansion Program (MPPEP) to help eligible meat and poultry processors expand their capacity, encourage competition and sustainable growth in the U.S. meat processing sector, and to help improve supply chain resiliency, said the agency. Available funding will be divided equally into two separate competitions: one for Small and Very Small Processors and one for Intermediate Processors.

Eligible applications include for-profit organizations, nonprofit organizations, producer-owned cooperatives, tribes and tribal entities. Privately-owned entities must be independently owned and operated, and all entities must be domestically owned. Additionally, the applicant’s processing facility must be physically located and operating in the United States or its territories. The applicant’s facility must primarily process cattle in order for the project to be eligible for the program; however, funds or equipment may be used for processing meat and poultry at the facility, according to USDA.