A key provision that would have reduced the power of large meatpacking companies to manipulate livestock markets was stripped from the new farm bill Thursday.A ban on meatpacker ownership of livestock, which was part of a group of new competition provisions in the Senate-passed version of the farm bill, was removed from the conference report of the bill in a late-night meeting this week. The provision would have prevented meatpackers from raising their own herds of livestock, a practice that has caused difficulties for small, independent livestock producers.

The “packer ban” has long been a pet project of Sen. Chuck Grassley, R-Iowa, and has been supported by many progressive organizations throughout the farm bill negotiation process.

Grassley was disappointed with Thursday’s turn of events and issued a statement Friday.

“The packer ban has been the most controversial issue in the farm bill never talked about,” stated Grassley.

He said as the world’s largest meatpacker, JBS, has announced plans to purchase three other meatpacking companies, “We’ve seen why it’s needed more than ever.”

“Packer-owned cattle and hogs distort the marketplace so the farmer can’t get a fair price,” Grassley said. “I’ve had personal experience with the CEOs of several slaughter houses, and their lack of understanding of the role the family farmer plays in ensuring a fair price in the free market is astounding.

“For example, five or six years ago I met with Joe Luter, at the time the president of Smithfield Foods, in my office. He told me that he didn’t care if family farmers raised hogs, he just wanted to make sure they raised hogs for him. This statement showed no regard or respect for the livelihood of the family farmer. I’ve also heard that the CEO of a major slaughter house has said that they own livestock because when prices are high they kill their own and when prices are low they buy from the farmer.

“This amendment is important enough to family farmers that I wanted to bring it up and put people on the record. We might not have won tonight, but we’ll keep fighting. I just hope it’s not too late for the family farmer when people finally realize that we have serious problems with competition in agriculture.”