Industry Engagement Crucial in Post-Election Landscape

The 2020 election is over, but efforts to understand the impacts are just beginning.

This most unusual of elections — conducted during a pandemic — has shifted the dynamics across levels of government. The baking industry will need to stay engaged to carefully plan its future moves.

That’s the take from three American Bakers Association executives and political experts, who relayed their perspectives during the association’s post-election edition of its podcast Bake to the Future.

These ABA executives are Robb MacKie, President and CEO; Lee Sanders, Senior Vice President, Government Relations and Public Affairs, and Kelly Knowles, Vice President, Political and State Affairs.

All three are anticipating significant post-election imperatives for the baking sector. They said this industry — and the food industry overall — will have to communicate needs and educate new government office holders about the proactive roles of companies and employees in keeping the food supply safe during the pandemic.

“We’re going to have to do a lot of education and reeducation with the new folks coming in,” said MacKie. “We’ll need to redouble our efforts.”

The executives were interviewed by Katie Juhl, ABA’s Director of Marketing and Communications, and Hailey Blumenreich, Marketing and Communications Manager.

Essential Worker Status is Key Priority

A top ABA priority with the new Biden administration will be to maintain the essential workforce status of the industry — part of the food and agriculture critical infrastructure designation put in place by the Trump administration early in the pandemic at the urging of ABA and other food industry associations. This designation has enabled the industries to remain operational in the face of pandemic challenges.

“We’ve already started to communicate the importance to the Biden transition team,” MacKie said. “We need to maintain that infrastructure during the transition period and through the winter. It’s important to protect those essential workers in our industry so that our members can continue to feed the country.”

Regulatory Prospects Raise Concerns

ABA executives are concerned about the potential for reversals in regulatory relief granted under the Trump administration. This kind of development could bring back the more restrictive environment under the Obama administration, they said.

Sanders cited some of the possible regulatory scenarios on the radar of ABA executives. These include:

• Higher priority for food nutrition policies such as levels of sodium and added sugars in food
• Potential focus on revenue-generating FDA user fees, including those levied on production facilities under the Food Safety Modernization Act 
• Increased focus on environmental impacts of food production and processing and a stepped-up review of chemicals in food

Senate Outcomes Will be Consequential

The national election may be over, but there are still important outcomes awaited on the Senate side. Georgia’s two incumbent Senators — both Republicans — will face runoffs with their Democratic challengers on January 5. The results are all important in determining Senate leadership. 

If Republicans hold at least one of those two seats, Biden would be the first Democratic president in more than one hundred years to begin his term without a Democratic-controlled Senate. That dynamic is sure to impact the new administration’s ability to press its agenda with Congress.

Tracking Potential State Revenue Moves

Despite all the emphasis on the national picture, the industry needs to stay focused on the state level as well, Knowles said.

States may implement revenue-raising tools in the face of COVID-19-related financial challenges, she explained.

"ABA’s State Affairs Working Group will be setting planning priorities for 2021, and we are anticipating potential revenue-raising tools states may implement,” she said. “I think we're going to see a lot of restrictive packaging measures introduced in the states early next year, potentially with some kind of per-pack tax on manufacturers.” 

Industry Engagement Will Shape Future

The executives said the food industry’s government efforts are supported by a robust collaboration framework. ABA takes a leadership role in the Food & Beverage Issue Alliance (FBIA), a coalition comprised of about 60 trade organizations. 

“I think it's our job to make sure the partnership efforts and momentum keep moving forward,” Sanders said. 

MacKie emphasized,  “We’re going to rely on our ABA members to help us push out the messages and to paint a picture of the impact of government regulations on our sector.”