Frequently Asked Questions
Find answers to common questions about contract farming, your rights, and how to get help.Questions about Being in a Contract
Farmers and ranchers can anonymously report unfair and anticompetitive practices in the livestock and poultry sectors using this tool from USDA and the Department of Justice (DOJ).
This will depend on the specifics of your contract terms. There are state laws and federal protections for growers, and our team is here to support you as you navigate your options. Contact us for more information.
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You have rights. Under the Packers and Stockyards Act (PSA), an integrator may not retaliate against you for protected activities, including:
- Filing or considering a complaint with the USDA
- Talking to USDA, lawmakers, or regulators
- Organizing or communicating with other growers
- Refusing to sign unfair contract amendments
- Participating in investigations or testimony.
- We encourage you to document as much as you can, including keeping a written timeline of events.
- Our team has lived experience and is available to listen, share stories, and guide you to the necessary resources. Contact us for more information.
- Yes, growers can legally form an association in the U.S. and federal law specifically protects your right to do so.
- Under the Packers and Stockyards Act and USDA rules:
- Growers have the right to communicate, organize and associate with other growers
- Integrators may not retaliate against you for:
- Joining or forming an association
- Attending meetings
- Sharing information
- Acting collectively in good faith
- Retaliation for association activity is illegal and can be reported.
Questions about Considering a Contract
The following contract issues are common amongst farmers. You are not alone.-
Most poultry growers take on substantial debt. The exact amount depends on when you enter, what the integrator requires, and how many upgrade cycles you go through under contract.
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New chicken growers typically take on an average of $3 million in debt. Most of this is financed over 15-20 years.
Contract growers have very limited control over their operations. The integrator dictates:
- How many animals you receive, when they arrive, and when they leave
- The feed type, schedule, and quantity
- Facility management protocols like temperature, ventilation, lighting, and more
- Biosecurity and health protocols like cleaning, vaccination,s and visitor restrictions
- Performance standards and rankings, which directly impact your pay.
This can be tricky, because integrators do not generally publicly disclose individual grower pay. Many contracts also explicitly forbid sharing pay information.
There are legal ways to get benchmark information, typically through a grower association or co-op, which can collect pay data anonymously, or offer ranges and averages, but not individual numbers.
This can be tricky, as there are many legal and practical limitations to simply moving from one integrator to another. Many contracts have non-compete clauses that prevent growers from raising birds for another integrator for a certain period of time after leaving.
Integrators can also retain ownership over houses, animal structures and feeders, meaning you won’t be able to use those if entering into contract with another company.
Integrators use various formulas to compensate growers. Typically, it’s dependent on performance, flock or herd size, and structural quality. The system is designed so that the companies control most of the assets, and growers are responsible for maintenance and upgrade costs.
Still have Questions?
contact@growersunite.org