There is some indication in Washington that USDA officials are ready to move a modified version of the GIPSA rule to the next step, sending it on to the Office of Management and Budget. Speculation is that USDA would strip out the most controversial parts of the proposed rule - and that would result in little impact on the cattle and hog producers of this country - while poultry operations would be subject to more change coming from the amended marketing rule.
Essentially, USDA is indicating that it is abandoning provisions in its proposed rule that would have prohibited packer-to-packer sales, prohibited a packer buyer from buying from more than one packer, and the requirements that packers must retain records. Otherwise, USDA will not send the sections on prohibiting undue preferences or advantage, or the section that clarifies that producers do not have to prove harm to the entire industry if they are harmed by a packer's unfair buying practices.
Other key cattle issues are not expected to be submitted to OMB for a while.