USDA Announces Plan to Strengthen U.S. Beef Industry

Washington, D.C. — The U.S. Department of Agriculture (USDA) announced a plan to fortify the American beef industry Oct. 22.

USDA lists three priorities in the plan:

• Protect and improve the business of ranching. Strengthening the foundation of U.S. cattle production through endangered species reforms, enhanced disaster relief, increased grazing access, increased access to capital and affordable risk management tools.
• Expand processing, consumer transparency and market access. Lowering long-term costs, increasing marketing options and ensuring consumers have clear, truthful information about American beef.
• Build demand alongside domestic supply. Growing the domestic herd while boosting domestic and international demand so that ranchers are not trapped in the boom/bust cycle that has defined past cattle markets.

The agency’s plan outlines the following action steps, some new and some ongoing, in more detail.

USDA–DOI grazing action plan.

The U.S. Forest Service (USFS) and the Bureau of Land Management (BLM) administer about 240 million acres of rangelands across 28 states, supporting over 23,000 permittees and lessees. There are roughly 29,000 grazing allotments nationwide. About 10% (24 million acres) are currently vacant, said the agency.

Grazing on federal lands sustains rural economies, supporting 14,200 jobs and $645 million in GDP on USFS lands, and 35,000 jobs and $2.7 billion in output on BLM lands, according to USDA.

A grazing action plan will be launched via a memorandum of understanding between USDA and the U.S. Department of the Interior (DOI). The USDA said it anticipates this being released in November.

The plan is designed to streamline and expand grazing on federal lands, elevate grazing as an administration priority and provide relief and support to America’s ranchers, the agency said. It aims to position grazing as a central element of federal land management by expanding access, reducing barriers, modernizing processes and elevating producer voices.

USFS and BLM will jointly assess the viability of vacant grazing allotments and prioritize reopening them for permitted use, with a commitment to ensure no net loss of Animal Unit Months (AUMs) nationwide. They will align regulations, modernize permitting guidance and use new and existing authorities to reduce backlogs for permit renewals and annual operating instructions, the agency said.

The USDA and DOI plan to strengthen engagement and mutual understanding between federal agencies and grazing communities through structured listening, learning and on-the-ground collaboration, the agency said. The departments plan to promote innovative grazing management tools and outcome-based practices to sustain ecological health while reducing costs for ranchers.

Predator management.

USDA’s Animal and Plant Health Inspection Service and DOI U.S. Fish and Wildlife Service will collaborate and work with state agencies to develop new standards of evidence for predations of livestock by wolves, bears, coyotes and other species that prey on livestock in Arizona, New Mexico and other states,

Enhanced disaster and predation support.

The Farm Service Agency will enact One Big Beautiful Bill Act provisions that it said will better protect ranchers from the economic impacts of natural disasters and protected species predation.

Implementation steps include improving the Livestock Indemnity Program (LIP) and Livestock Forage Program (LFP) to offer higher and earlier payment rates to producers, including coverage for unborn livestock in the LIP program and increasing the coverage to 100% of the market value for livestock that are killed by predation.

Making risk protection tools more affordable and prioritizing new and beginning ranchers.

The USDA’s Risk Management Agency (RMA) has expanded the beginning farmer definition from 5 years to 10 years.

USDA has enhanced the premium subsidy of 15 percentage points, additional subsidy for the first two years, 13 percentage points for the third year, 11 percentage points for the fourth year and 10 percentage points for years five through ten.

USDA said it is currently identifying producers who may fall into this expanded category and is working with agents to ensure those policyholders receive maximum benefits.

Increasing veteran owned and operated ranches.

National Institute of Food and Agriculture (NIFA) will prioritize grant applications in the Enhancing Agricultural Opportunities for Military Veterans (AgVets) program that support veterans interested in entering ranching. Starting with the Request for Applications (RFA) for AgVets in FY2026, NIFA will include language encouraging applicants to promote outreach and education focused on ranching.

Protecting and promoting American beef through transparent labeling.

USDA’s Food Safety and Inspection Service (FSIS) will begin enforcing compliance of labeling claims for meat and poultry products bearing “Product of USA” claims and will provide guidance and outreach to states to support state-based labeling programs. 

Effective Jan. 1, 2026, FSIS inspection personnel will begin enforcing compliance on FSIS-regulated products that bear voluntary “Product of USA,” “Made in the USA” and other U.S.-origin claims before they may enter commerce.

FSIS will conduct regional webinars and issue guidance in late 2025, in partnership with states and farm groups, to support state and local labeling claims related to FSIS regulations. 

Promoting fair and transparent beef markets.

USDA collects and publishes information on the marketing of cattle and beef products to provide a more transparent and resilient marketing system that benefits all stakeholders, the agency said. This information supports producers in making informed marketing decisions to compete more effectively in the marketplace, according to the agency.

USDA continues to seek out emerging technologies to maximize the efficiency of its service and ensure producers of all sizes can continue to easily find the information they require, the agency said. It will continue to monitor industry activities and conduct regulatory compliance to ensure that cattle markets remain open, transparent and fair for all participants, working with the U.S. Department of Justice as necessary.

USDA’s Agricultural Marketing Service (AMS) will continue to make public cattle and beef market information under the Livestock Mandatory Reporting program and will make available the Cattle Contract Library and other reporting tools to ensure producers have clear, timely market information.

Promoting innovation and reducing costs for small processors.

AMS will expand its remote grading program for beef, targeting small and medium processors that supply local and regional markets. AMS will expand its Instrument Enhanced Grading program, which leverages camera technology to improve the consistency and accuracy of the AMS grading program and reduce staffing needs, bringing costs down for meat processors of all sizes, said USDA.

These actions are ongoing, but USDA said it will begin to target messaging and announcements around new processing plants participating in either program.

Reducing overtime and holiday inspection fees for small processors.

FSIS will reduce the costs of overtime and holiday inspection for small and very small meat, poultry and egg product establishments, said USDA.

For FY2026, FSIS will temporarily reduce overtime and holiday inspection fees by 75% for very small processors and 30% for small processors, utilizing $20 million in de-obligated funds from the Meat and Poultry Processing Expansion Program. FSIS will begin implementing fee reductions in early 2026, which can be retroactive to Oct. 1, 2025, said USDA.

Enhancing local processing and increasing marketing options for ranchers and consumers.

USDA’s Rural Business-Cooperative Service (RBCS) will announce a fourth round of grant funding through the Meat and Poultry Processing Expansion Program to support small processors, with a focus on promoting local supply chains, said USDA. Grants would total up to $2 million per award, according to the agency.

RBCS will create the grant application window in late 2025, USDA said. Eligible processors would apply for the program in early 2026. Grant applicants would be reviewed by RBCS, with grant funds announced in Q2 of 2026. 

RBCS also will prioritize beef processor applications within USDA’s Guaranteed Business and Industry Loan Program to allow up to a $25 million guaranteed loan to increase local beef processing capacity, said USDA.

Enhancing access to feeder cattle data.

USDA AMS will pilot new technology that will assess feeder cattle against USDA standards using LiDAR technology.

Using vision and AI-based technologies, pilots will begin in early 2026, said USDA. AMS will partner with livestock auction markets to ensure the technology works in real-life settings and accurately applies USDA’s standards, according to the agency.

Advancing deregulatory reforms under the Clean Water Act to strengthen the U.S. beef supply and U.S. processing.

The EPA has withdrawn a 2024 proposed rule that would have imposed new wastewater discharge requirements for meat and poultry processing facilities.

Expand access to locally raised beef for American students.

USDA is encouraging schools, sponsors and institutions participating in any USDA Child Nutrition Programs (CNP) to source and serve locally grown foods, including beef, in program meals.

USDA’s Food and Nutrition Service (FNS) is accepting applications for the FY2026 Patrick Leahy Farm to School Grant Program to support planning, developing and implementing farm to school programs.

FNS issued a memo May 6 to encourage CNP operators to purchase locally grown and locally raised agricultural products to the maximum extent practicable.

Beginning Sept. 10, FNS has accepted applications to fund farm to school projects ranging from $100,000 to $500,000, for a total of up to $18 million. These applications will be accepted until Dec. 5, and awards are expected within three to six months afterward.

Ensure science-based dietary guidelines for Americans.

Together with the U.S. Department of Health and Human Services (HHS), USDA said it will ensure the 2025–2030 Dietary Guidelines for Americans reflect sound science and practical advice for the American family, including encouraging protein as the foundation for every meal. The DGA will be released no later than Dec. 31, said USDA.

“America’s food supply chain is a national security priority for the Trump administration,” said U.S. Secretary of Agriculture Brooke Rollins. “We are committed to ensuring the American people have an affordable source of protein and that America’s ranchers have a strong economic environment where they can continue to operate for generations to come. At USDA, we are protecting our beef industry and incentivizing new ranchers to take up the noble vocation of ranching. Today, USDA will immediately expedite deregulatory reforms, boost processing capacity, including getting more locally raised beef into schools and working across the government to fix longstanding common-sense barriers for ranchers like outdated grazing restrictions.”

To view the full plan, click here.