The U.S. Department of Agriculture (USDA) is putting new federal funding behind two different segments of the domestic catfish industry, opening $6 million in grants to expand processing of invasive wild-caught catfish while agreeing to purchase up to $20 million in U.S. farm-raised catfish.
USDA announced Sept. 9 that seafood processors working with invasive wild-caught catfish can apply for grants intended to increase processing capacity, strengthen the food supply chain, and create additional markets for fishermen and watermen harvesting the species.
USDA Rural Development is making the $6 million available through its Meat and Poultry Processing Expansion Program. Under the new funding round, grants can be used by independent businesses to build or modernize processing facilities and equipment, adopt new technologies, and train workers.
USDA said increasing processing capacity could help create markets for invasive wild-caught catfish while reducing populations that are affecting marine ecosystems and the fishing industry.
“By investing in seafood processors, we can help our hardworking watermen remove invasive catfish from our waterways while strengthening the future of our rural communities,” Agriculture Secretary Brooke Rollins said.
Eligible applicants include for-profit and nonprofit entities, producer-owned cooperatives and corporations, certified benefit corporations, Tribes and Tribal entities, and state and local governments.
Private applicants must be independently and domestically owned. Facilities must be located and operating in the United States or its territories, have been in business for more than one year, and be engaged in processing invasive wild-caught catfish.
Individual grants will range from $50,000 to $2 million, and successful applicants must cover 20 percent of their total project costs. Applications are due Dec. 7.
The announcement comes alongside a separate USDA effort targeting the country’s farm-raised catfish industry.
Sen. Cindy Hyde-Smith, R-Miss., announced that USDA has agreed to purchase up to $20 million in surplus U.S. farm-raised catfish for distribution through food banks, charities, and other nutrition assistance programs.
The purchase is part of a larger USDA commitment to buy up to $76.5 million in surplus U.S. commodities through the Section 32 program, which allows the department to purchase surplus domestic commodities for food and nutrition assistance programs.
Hyde-Smith said the purchase comes as farm-raised catfish producers contend with rising costs and other economic pressures.
"The farm-raised catfish industry has been under tremendous financial pressure as producers have struggled with years of rising costs and inflation," Hyde-Smith said. "Like many agricultural sectors, our catfish farmers have faced significant economic challenges."
Hyde-Smith and Sens. Roger Wicker, R-Miss., Katie Britt and Tommy Tuberville, R-Ala., and Tom Cotton, R-Ark., asked Agriculture Secretary Brooke Rollins in June to approve relief for the U.S. farm-raised catfish industry through the Section 32 program.
In their request, the senators said the industry accounts for nearly $2 billion in economic output and affects more than 9,100 direct and indirect jobs.
While the two USDA actions target different parts of the catfish sector, both are intended to strengthen domestic markets. The $6 million grant program focuses on expanding processing capacity for invasive wild-caught catfish, while the $20 million purchase is designed to move surplus farm-raised catfish into domestic nutrition programs.
The latest purchase follows a January 2025 USDA agreement to purchase up to $55 million in farm-raised catfish and Gulf shrimp.