Freezing grant funds creates a freeze on rural America and the meat supply

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The views expressed in this article are those of Rebecca Thistlethwaite and do not represent those of Oregon State University, where NMPAN is housed. If you have a different perspective or a related story to share, Rebecca is eager to hear from you! You can reach her at thistler@oregonstate.edu.

Impact of Federal Grant Freezes on the Meat and Poultry Industry

In recent news, a significant number of federal grant programs have been frozen as a result of executive orders issued by President Trump. This situation has created a halt in the processing of payments and reimbursements for millions of dollars allocated through these grants. The meat and poultry industry is particularly affected, as many grants aimed at diversifying and strengthening this sector are now in limbo.

Despite two judges issuing temporary restraining orders requiring the federal government to maintain funding for existing grant contracts, numerous government departments and agencies have continued to delay payments post-January 19, 2025. This impasse has left many in the meat and poultry sector in a precarious position, as hundreds of grants have been awarded in recent years under the Biden administration’s initiative to create a more resilient meat processing industry and expand options for meat producers.

Types of Affected Grants

The grants impacted include the Meat and Poultry Inspection Readiness Grant (MPIRG) offered in two rounds, the Meat and Poultry Economic Development Grant Program (MPEPP) also in two rounds, Local Meat Capacity Grants, and the Indigenous Animals Harvesting and Meat Processing Grant Program (IAG). Additionally, other related financial support such as Value-Added Producer Grants, Local Food Promotion Program grants, Renewable Energy for America Grants, and NRCS grants have been effectively frozen, despite the judicial orders in place.

The Role of NMPAN and Its Partners

The National Meat Processing Assistance Network (NMPAN) and its partners—including the American Association of Meat Processors, the American Meat Science Association, and the Flower Hill Institute—have diligently worked to provide outreach and support to help small and mid-scale processors navigate these grant opportunities and submit successful applications. While we have celebrated numerous successes, the current freeze on funds has cast a shadow over our collective efforts. The repercussions of this situation extend beyond financial numbers; they represent real American businesses and livelihoods caught in a political struggle. The question remains: at what cost?

Real Stories from the Ground

The human impact of these frozen grants is stark. Several individuals have shared their experiences (names withheld to protect identities from potential political backlash), including:

  • A vertically integrated pastured poultry operator has $317,645 frozen, which was earmarked for processing equipment, H2A program expenses, and improvements to the farm water system.
  • A small custom-exempt operator is facing a loss of $100,000 intended for refrigeration upgrades, which would have allowed them to undergo USDA inspection—an opportunity now jeopardized.
  • A farmer-owned processing facility is unable to access $120,000 meant for upgrading humane handling equipment.
  • A final $50,000 to close out an MPIRG grant and pay suppliers for new packaging equipment remains frozen.

The Broader Implications

One individual, who has served as a grant reviewer, expressed deep concern over the situation: “As someone who served as a reviewer on these grant applications, I have a profound appreciation for the level of scrutiny and analysis that went into determining which applications were approved. The failure to reimburse grant recipients for previously authorized federal obligations is both illegal and severely misguided.”

As noted in a recent newsletter by the American Association of Meat Processors (AAMP), “The money has already been awarded. Companies have poured concrete for new construction and ordered equipment for expanded processing. When this payment is frozen or canceled, the consequences could drive a small processor out of business.”

Taking Action

If you are affected by the frozen grant funds, or if you believe this situation is unjust, we strongly encourage you to contact your elected officials. You can find your U.S. Representative or Senator’s contact information by visiting this search page.

Commitment to Support

Despite the uncertainties surrounding some of our funding, NMPAN remains committed to providing technical assistance to small and mid-scale meat processors and producers. We will continue to deliver the highest level of service to the hundreds of stakeholders we assist annually. Our dedication to supporting the niche meat industry has never been stronger, and we will persevere in advocating for the funds and support that our communities desperately need.