---
kind: "section"
citation: "7 U.S.C. § 1635d"
title: "7"
title_heading: "Agriculture"
number: "1635d"
heading: "Definitions"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/7/1635d"
units:
  - "Chapter 38 — Distribution and Marketing of Agricultural Products"
  - "Subchapter II — Livestock Mandatory Reporting"
  - "Part B — Cattle Reporting"
---

# §1635d. Definitions


In this part:

- (1) **Cattle committed—** The term “cattle committed” means cattle that are scheduled to be delivered to a [packer](#5) within the 7-day period beginning on the date of an agreement to sell the cattle.
- (2) **Cattle type—** The term “cattle type” means the following types of cattle purchased for slaughter:
  - (A) Fed steers.
  - (B) Fed heifers.
  - (C) Fed Holsteins and other fed dairy steers and heifers.
  - (D) Cows.
  - (E) Bulls.
- (3) **Formula marketing arrangement—** The term “formula marketing arrangement” means the advance commitment of cattle for slaughter by any means other than through a negotiated purchase or a [forward contract](#4), using a method for calculating price in which the price is determined at a future date.
- (4) **Forward contract—** The term “forward contract” means—
  - (A) an agreement for the purchase of cattle, executed in advance of slaughter, under which the base price is established by reference to—
    - (i) prices quoted on the Chicago Mercantile Exchange; or
    - (ii) other comparable publicly available prices; or
  - (B) such other [forward contract](#4) as the [Secretary](/usc/7/499a.md?p=b-2) determines to be applicable.
- (5) **Packer—** The term “packer” means any [person](/usc/7/499a.md?p=b-1) engaged in the business of buying cattle in commerce for purposes of slaughter, of manufacturing or preparing meats or meat food products from cattle for sale or shipment in commerce, or of marketing meats or meat food products from cattle in an unmanufactured form acting as a wholesale [broker](/usc/7/499a.md?p=b-7), [dealer](/usc/7/499a.md?p=b-6), or distributor in commerce, except that—
  - (A) the term includes only a cattle processing plant that is federally inspected;
  - (B) for any calendar year, the term includes only a cattle processing plant that slaughtered an average of at least 125,000 head of cattle per year during the immediately preceding 5 calendar years; and
  - (C) in the case of a cattle processing plant that did not slaughter cattle during the immediately preceding 5 calendar years, the [Secretary](/usc/7/499a.md?p=b-2) shall consider the plant capacity of the processing plant in determining whether the processing plant should be considered a [packer](#5) under this part.
- (6) **Packer-owned cattle—** The term “packer-owned cattle” means cattle that a [packer](#5) owns for at least 14 days immediately before slaughter.
- (7) **Terms of trade—** The term “terms of trade” includes, with respect to the purchase of cattle for slaughter—
  - (A) whether a [packer](#5) provided any financing agreement or arrangement with regard to the cattle;
  - (B) whether the delivery terms specified the location of the producer or the location of the [packer](#5)’s plant;
  - (C) whether the producer is able to unilaterally specify the date and time during the business day of the [packer](#5) that the cattle are to be delivered for slaughter; and
  - (D) the percentage of cattle purchased by a [packer](#5) as a negotiated purchase that are delivered to the plant for slaughter more than 7 days, but fewer than 14 days, after the earlier of—
    - (i) the date on which the cattle were committed to the [packer](#5); or
    - (ii) the date on which the cattle were purchased by the [packer](#5).
- (8) **Type of purchase—** The term “type of purchase”, with respect to cattle, means—
  - (A) a negotiated purchase;
  - (B) a formula [market](/usc/7/198.md?p=1) arrangement; and
  - (C) a [forward contract](#4).

## Source credit

(Aug. 14, 1946, ch. 966, title II, § 221, as added Pub. L. 106–78, title IX, § 911(2), Oct. 22, 1999, 113 Stat. 1189.)