WASHINGTON–Sen. Chuck Grassley of Iowa sent a letter yesterday to the Department of Justice pressing the Antitrust Division to review JBS USA's proposed acquisition of Cargill Inc.'s pork unit.

Grassley expressed concern that the merger will increase concentration and decrease competition in the U.S. pork industry. 

"If the JBS-Cargill deal is finalized, the four largest pork processors will control roughly 71 percent of the processing capacity in the country.  Continued mergers and acquisitions in an already consolidated pork industry could reduce competition.  And, reduced marketing opportunities for farmers and independent producers, and the subsequent impact it could have on pork prices for consumers is of great concern," said Grassley. 

JBS USA and Cargill Inc. are currently the third and fourth largest U.S. pork processors respectively.  If the transaction is finalized, JBS USA will become the second largest pork processor with a daily slaughter capacity of around 83,000 head.  This equates to nearly 20 percent of U.S. daily pork processing capacity.    

Grassley has long worked to ensure such mergers are carefully reviewed by the Justice Department to ensure a competitive market.  This transaction, reportedly valued at $1.45 billion, comes almost one year after Tyson Foods purchased Hillshire Farms.

JBS USA has a plant located in Marshalltown, Iowa, and Cargill Inc. has a plant located in Ottumwa, Iowa. 

A signed copy of Grassley's letter to the Department of Justice can be found here.

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WASHINGTON, July 28, 2015 - Agriculture Secretary Tom Vilsack today announced the first round of investments in rural infrastructure projects through the U.S. Rural Infrastructure Opportunity Fund. Through the Fund and its expanded public-private partnerships, USDA has facilitated the investment of nearly $161 million in private capital 22 critical water and community facilities projects in 14 states, maximizing the impact of USDA's own investments in job-creating rural infrastructure projects across the country.

"The Fund and USDA's other public-private partnership efforts help to facilitate private investment in rural businesses and infrastructure projects and maximize USDA's own record investments in rural America," said Tom Vilsack, U.S. Department of Agriculture Secretary and Chair of the White House Rural Council. "USDA and other agencies invest in infrastructure through a variety of federal initiatives, but our resources are finite and there are backlogs of projects in many parts of the economy. Efforts like the Fund help encourage substantial private investment in even more projects that help to grow the rural economy and support rural communities where people want to live, work and raise their families."

Strong, secure infrastructure-roads and bridges, but also internet access and community facilities like hospitals and schools-improves connectivity and access to information, moves products to market, and makes communities competitive and attractive to new businesses and investments.

Investments include 11 community facilities projects in Colorado, Illinois, Minnesota, Mississippi, North Carolina, Pennsylvania, South Carolina, South Dakota and Wisconsin, including building new nursing homes, constructing new preschool and day care facilities, constructing a new facility for a rural ambulance service that covers a 685 square mile area in South Dakota, and building or upgrading two new critical access hospitals in rural Illinois and North Carolina. In addition, the Fund invested in 11 critical water projects in California, Kansas, Mississippi, North Dakota, Ohio, South Carolina, South Dakota and Texas. Projects include upgrades to existing water systems and the construction of a new reservoir. At least 38 additional critical infrastructure projects are in the pipeline for investment.

The U.S. Rural Infrastructure Opportunity Fund is part of a broader effort across the Department to rethink how to best leverage private sector resources to revitalize and reenergize the rural economy. Last year, Secretary Vilsack announced the creation of a $150 million privately-funded Rural Business Investment Company (RBIC), which has already made three investments in rural businesses with high-growth potential. Earlier this year, Secretary Vilsack announced the launch of two additional new privately-funded RBICs, which will be run by Innova Memphis and Meritus Kirchner Capital. Once the capital has been raised, these companies will make equity investments in rural businesses with high-growth potential. Efforts like the Fund and the RBICs help to maximize USDA's own portfolio of investments in rural development.

CoBank, as anchor investor, agreed to commit up to $10 billion of its balance sheet capacity to lend in conjunction with the Fund, consistent with CoBank's existing authority. AgStar Financial Services, another Farm Credit institution, also made investments in the first year. Capitol Peak Asset Management manages the Fund, has developed a strong pipeline of infrastructure related projects and investments, is working to recruit additional investors, and is providing capital advisory services to companies in rural America. The USDA and other federal agencies are helping to identify rural projects that could be potential beneficiaries of financing through this new Fund and other private sources.

This announcement comes in conjunction with the second White House Rural Opportunity Investment Conference in Washington, DC, focused on building equity capital in rural America. The conference will connect senior leaders from financial institutions, fixed income funds, and other investors with rural business leaders, senior-level Government officials, economic development experts, and program sponsors to discuss the unmet need for investments in rural America-matching investments with opportunities. This year's conference builds on the work of the first-ever conference, held last year at the White House and focused on debt investments. The U.S. Rural Infrastructure Opportunity Fund was announced at last year's conference.

Over the past six years, USDA has made historic investments in every state to support the farmers, ranchers and growers who are driving the rural economy forward, carry out record conservation efforts, facilitate groundbreaking research, promote new markets for rural products, and provide a safe, affordable and nutritious food supply for American families. To see how USDA has invested in your state, visit www.usda.gov/results.

About the White House Rural Council

To address challenges in Rural America, build on the Administration's rural economic strategy, and improve the implementation of that strategy, the President signed an Executive Order establishing the White House Rural Council. The Council coordinates the Administration's efforts in rural America by streamlining and improving the effectiveness of federal programs serving rural America; engage stakeholders, including farmers, ranchers, and local citizens, on issues and solutions in rural communities; and promoting and coordinating private-sector partnerships. The work of the White House Rural Council and USDA to bring investment to rural America is an example of how the Administration is creating smart partnerships with the private sector to better support Americans in all parts of the country.

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Midwest leaders including Nebraska Governor, Iowa Lieutenant Governor, Nebraska Farm Bureau and Novozymes encourage rural community to make their voice heard in support of biofuels before July 27 EPA comment deadline.

(BLAIR, Neb.) - Today Nebraska Governor Pete Ricketts and Iowa Lieutenant Governor Kim Reynolds joined Nebraska Farm Bureau President Steve Nelson and Novozymes General Manager Kyle Nixon at the company's enzyme plant in Blair, Nebraska to express the potential economic impact on Nebraska and Iowa of the pending EPA proposal to slash billions of gallons from America's Renewable Fuel Standard (RFS). If enacted, it would threaten thousands of jobs and the billions of dollars of investments by ethanol producers and technology providers in Nebraska and Iowa.

"Agriculture is Nebraska's number one industry, and ethanol is one of the key agricultural growth industries that have added billions in revenue and thousands of jobs over the past decade to our state," said Nebraska Governor Pete Ricketts. "These efforts were undertaken in expectation that such efforts would meet the commitment of this nation to renewable fuels established by the Renewable Fuel Standard. Nebraskans have cause for concern because the EPA's proposal to slash billions of gallons of biofuels from the RFS has the potential to negatively impact the future growth of our state. The RFS is an achievable and ambitious target and must be maintained."

According to a 2015 economic analysis by Fuels America, the RFS is driving $184 billion in economic activity and more than 850,000 jobs with $46 billion in wages across America. This is the result of years of investment by the biofuel sector to bring clean, low carbon renewable fuels to market.  This activity creates a ripple effect as supplier firms and employees re-spend throughout the economy.  The local impact for Nebraska is $11.1 billion and nearly 40,000 jobs.  Likewise, the impact for Iowa is $19.3 billion and 73,000 jobs.

"A robust Renewable Fuel Standard creates quality careers, increases family incomes, reduces our dependence on foreign oil, provides sustainable renewable energy, and fosters growth in the biofuels and agricultural industries," said Iowa Lt. Gov. Kim Reynolds. "Those of us in America's Heartland know the importance of a strong Renewable Fuels Standard and we hope as more supportive comments arrive before the July 27^th deadline, the EPA will reverse course and partner with us to continue growing America's renewable energy sector through a strong Renewable Fuel Standard."

Today, the United States creates 14 billion gallons of home-grown biofuels for our cars, trucks and our growing military needs--more than we import from Saudi Arabia. The group that will likely feel the impact of this proposal the most is America's farmers.

"EPA's decision to not follow the intent of Congress when it developed the RFS2 in 2007 is highly disappointing to all of agriculture. Renewable fuels, more specifically corn based ethanol, has been a tremendous success story for the nation as a whole as well as to Nebraska's rural economy. The RFS has reduced our country's dependence on foreign crude oil, reduced air pollution, increased farm incomes and has provided good paying jobs within rural America. EPA's proposal is a step in the wrong direction and ignores the benefits ethanol and biofuels have provided," said Steve Nelson, president of the Nebraska Farm Bureau.

Novozymes has played a leading role in the development of the existing biofuels industry and the growing advanced biofuels industry. Enzymes from its Blair, Nebraska plant allow agricultural products like corn starch and corn stover to be converted into conventional and advanced biofuels. The enzyme plant has helped realize two of the Obama Administration's key goals for renewable energy; creating short-term construction and long-term professional jobs; and helping move the U.S. away from foreign oil and towards homegrown renewable fuel, energizing the economy and increasing domestic security.

"The RFS is not just a policy it's how we live our lives. Today Novozymes has 127 full time employees in Nebraska and Iowa--jobs that were created in large part, due to the RFS," said Kyle Nixon, Novozymes General Manager. "We care deeply for our communities and want to see benefits like jobs, worker training and tax revenues continue to grow."

Highlights of Iowa leaders' engagement on the RFS include :

• State and Federal elected officials, including Gov. Branstad and Lt. Governor Reynolds, participated in a "Defend the RFS" event.
• Gov. Branstad traveled to Washington, DC, joining a group of Iowa farmers and biofuels producers, to testify at the Federal government's only public hearing and met with EPA Administrator McCarthy.
• Gov. Branstad, Lt. Gov. Reynolds, Secretary Bill Northey and the entire Iowa congressional delegation sent a joint letter to Federal leaders advocating for the many benefits that flow from the RFS.
• Gov. Terry Branstad and Gov. Mark Dayton (D-Minn.) penned an op-ed in support of a strong Renewable Fuel Standard.
• Gov. Terry Branstad brought together a bipartisan group of six governors to sign on to a letter to President Barack Obama, EPA Administrator Gina McCarthy and United States Secretary of Agriculture Tom Vilsack expressing their support for a strong RFS.
• Leaders from across the Midwest joined Gov. Branstad and Lt. Gov. Reynolds for their "Hearing in Heartland," which was open to all interested citizens; 83 panelists from across the Midwest Region spoke from the heart about the importance of the RFS to their livelihoods and a healthy rural economy while only two individuals expressed opposition to a robust RFS.
• Gov. Branstad, in his Condition of the State address, called on the Iowa Legislature to pass a resolution in support of a robust RFS. The Legislature unanimously passed bicameral, bipartisan resolutions calling for the EPA to reverse course and support a strong RFS. View the resolutions: House Resolution 101 | Senate Resolution 101
• State of Iowa leaders submitted formal comments to the EPA with current data and analysis that provides Federal leaders the opportunity and obligation to revise their initial volume obligations upward.
• Gov. Branstad testifies in support of a robust RFS before the EPA's hearing in Kansas City.
• Lt. Gov. Reynolds submits written testimony to the EPA in support of a robust RFS.

About Novozymes

Novozymes is the world leader in biological solutions. Together with customers, partners and the global community, the company improves industrial performance while preserving the planet's resources and helping build better lives. As the world's largest provider of enzyme and microbial technologies, its bioinnovation enables higher agricultural yields, low-temperature washing, energy-efficient production, renewable fuel and many other benefits that we rely on today and in the future. www.novozymes.com

WASHINGTON, July 16, 2015 - Agriculture Secretary Tom Vilsack today announced that USDA is accepting applications for funding under a program that supports the production of advanced biofuels, renewable chemicals, and biobased product manufacturing.

"This critical financing will enhance our efforts to build a robust, rural bioeconomy by helping to expand the availability of biobased products and to increase the number of commercial-scale biorefineries in the country," Vilsack said. "In addition to the available funding, I am proud to announce that USDA has significantly improved the biorefinery program to help create lasting job opportunities in rural America."

USDA is making the funding available through the Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program. It was formerly known as the Biorefinery Assistance Program.

The new program provides loan guarantees of up to $250 million to construct and retrofit commercial-scale biorefineries and to develop renewable chemicals and biobased product manufacturing facilities. Vilsack and USDA Rural Business-Cooperative Service Administrator Lillian Salerno today hosted a seminar at USDA headquarters to discuss changes to the program and the opportunities available to produce more biobased products.

Two funding cycles are being held. Applications for round one are due October 1. Applications for the second round are due April 1, 2016. For information on how to apply, see page 38432 of the July 6, 2015 Federal Register.

USDA has made significant improvements to the program. Biorefineries are now able to receive funding to produce more renewable chemicals and other biobased products in addition to advanced biofuels.

Also, biobased product manufacturing facilities are eligible to convert renewable chemicals and other biobased outputs into "end-user" products. Further, USDA has streamlined the application process.

Sapphire Energy's "Green Crude Farm" in Columbus, N.M., is an example of how USDA funding and partnerships with the private sector are helping to support the development of biorefineries. In 2011, USDA provided Sapphire Energy a $54.5 million loan guarantee to build a refined algal oil commercial facility.

The plant opened in May 2012 and is producing renewable algal oil that can be further refined to replace petroleum-derived diesel and jet fuel. According to the company, more than 600 jobs were created throughout the first phase of construction at the facility, and 30 full-time employees currently operate the plant. After Sapphire received additional equity from private investors, it repaid the remaining balance on its USDA-backed loan in 2013.

USDA released a new report on June 17 that shows America's biobased industry is generating substantial economic activity and creating American jobs. According to the report, the U.S. biobased industry contributed four million jobs and nearly $370 billion to the American economy in 2013 alone.

Today's funding announcement was made possible by the 2014 Farm Bill, which builds on historic economic gains in rural America over the past five years while achieving meaningful reform and billions of dollars in savings for taxpayers. USDA has made significant progress to implement each provision of this critical legislation, including providing disaster relief to farmers and ranchers; strengthening risk management tools; expanding access to rural credit; funding critical research; establishing innovative public-private conservation partnerships; developing new markets for rural-made products; and investing in infrastructure, housing and community facilities to help improve quality of life.