Overview
The 2024 US Elections have significant implications for the food system, including regulatory and reputational risk for companies in the agriculture and food and beverage (F&B) sectors, among others. Key policy and regulatory efforts are already in motion in Congress and, depending on who wins the White House, companies may face very different regulatory landscapes.
The rise in identity politics globally also means consumers view brands through a political lens. Globally, 60% of consumers buy, choose, or avoid brands based on “my politics,” according to the 2024 Edelman Trust Barometer Special Report: Brands and Politics.
As a result, companies face increased reputational risk, especially in an election year when political sensitivities are only heightened. Consumers see everyday brand actions through a political lens—nearly 8 in 10 consumers feel brands are doing things they consider political or politically motivated, many of which are considered routine for the C-suite.
The 2024 elections, therefore, don’t just have national consequences but also potentially costly implications for businesses. This year, brands will be drawn into the fray. The new mandate for businesses, then, is to be prepared.
This memo highlights key milestones around the elections, regulatory issues on the radar, and key considerations for companies in the food, beverage, and agriculture sectors as they approach the 2024 US presidential election.
Key Considerations
US Policy and Regulatory Issues to Watch
August 15, 2024: FDA published industry guidance for voluntary sodium reduction targets in commercially processed, packaged, and prepared foods (Edition 2), and is accepting public comments through November 14.
September 30, 2024: Deadline for new Farm Bill to be signed by Congress—or existing bill will likely extend for one more year.
Fall 2024: FDA expected to propose new front-of-package labeling regulations, likely focused primarily on salt, fat, and sodium.
By the end of December 2024, FDA expected to publish:
- Action levels for lead in baby food
- Food Traceability Rule (FSMA 204)
- Notifying FDA of permanent discontinuance of or interruption in infant formula manufacturing
- Preventative controls for chemical hazards in human foods
2025:
- FDA considering commodity-specific action levels for heavy metals
- USDA and HHS to publish 2025-2030 Dietary Guidelines for Americans
Presidential Approaches and What They Mean for Business
The upcoming change in administration will have significant implications for the food system and its stakeholders. Companies and organizations are advised to engage in scenario planning to prepare for and adapt to potential external and internal political pressures. Though not an exhaustive list, some of both administrations’ approaches to the food system are highlighted below.
Harris-Walz Administration:
Likely to continue or evolve the 2022 Biden-Harris National Strategy on Hunger, Nutrition, and Health. Expect nutrition and food security-focused regulations, updates, and guidance from implementing agencies (i.e., FDA’s Human Foods Program, USDA Food and Nutrition Service) to continue, which can impact corporations across the food service and supply chains.
While the current restrictions on work visas into the United States will continue to decline, a Harris administration would not completely abolish the workforce that industries rely on for temporary work and immigrant labor. However, with stricter border enforcement, the undocumented worker community is expected to decrease in the coming years.
Within the first 100 days, Harris proposes a federal ban on price gouging of food and groceries, empowering the Federal Trade Commission (FTC) and state attorneys to investigate and enforce new penalties on violators that exploit. The administration plans to curb mergers and acquisitions that inflate prices and stifle competition, aiming to boost support for small businesses like grocery stores, meat processors, farmers, and ranchers.
VP pick Governor Tim Walz brings increased focus to agriculture issues due to his deep ties to a major farming state and his role in crafting three farm bills as a House Agriculture Committee member. His influence over the upcoming Farm Bill re-authorization is anticipated.
Trump-Vance Administration:
Stricter immigration policies per Trump’s Agenda 47 are likely to impact food services and agriculture producers as proposed mass deportations will impact industries reliant on temporary work visas and immigrant labor.
A proposed 10-20% tariff on foreign trade imports could put the agriculture sector at risk and provoke retaliatory actions (e.g., counter-tariffs) from trading partners. A proposed 60% tariff on imports from China heightens risk for US agriculture, including soybeans, sorghum, and pork, which were most impacted by tariffs in Trump’s first term.
While Trump’s official platform, Agenda 47, does not highlight specific ag-related policy, Project 2025—a policy and personnel playbook developed by the Heritage Foundation—does. Project 2025 proposes repealing commodity subsidies and dietary guidelines, cutting crop insurance and conservation programs, eliminating market export promotion and community eligibility programs, and tightening requirements for nutrition assistance. Trump has not endorsed Project 2025—and in fact, has distanced himself from it—but it’s worth noting that just one year into his first term he had already implemented close to two-thirds of the Heritage Foundation’s “Mandate for Leadership” so it’s a helpful proxy to understand policy options.
External Factors
The 2024 US Elections are occurring against a backdrop of significant social, economic, and geopolitical uncertainty. Legal battles over voting rights, election results, and regulatory changes are likely with potential implications for the food system, particularly if new policies or regulations face challenges in court. The election outcome could also influence environmental policies, affecting regulatory approaches to issues like climate change, sustainability, and food safety. Finally, civic unrest fueled by political polarization could escalate in response to contentious election outcomes or controversial policy proposals, potentially disrupting food logistics or supply chains.
Employee Communications
The political climate is volatile, making this election season a critical period for managing employee engagement and communications, especially in industries as sensitive as food and agriculture. Employee well-being, morale, and productivity could be affected by the broader social and political climate, as well as by the direct impact of new policies on issues like healthcare, immigration, and labor rights. Additionally, understanding how potential policy changes might affect workforce dynamics—such as labor availability in agriculture due to stricter policies and regulations—will be crucial for operational planning.
62% of employees expect CEOs to manage changes occurring in society, not just those occurring in their business.
As a result, employees are paying close attention to how their company communicates, advocates, and shows up at key political moments this year. Leaders should be mindful of the role their governance plays, understand where employees stand, and plan for potential scenarios that could occur before, during, and after November—including civil unrest/ protest, reactions to public statements, public callouts from politicians/candidates, or dramatic policy or regulatory shifts. Leaders must keep the ever-changing environment in mind when communicating with their employees and be ready to act if crises arise.
Companies should assess what the implications of these scenarios might mean for the business and their employees. How might the selection of one candidate impact healthcare options for employees? Could a shift in Congress’ political majority affect a brand’s international business capacity? Is there a red line that would necessitate a statement from the CEO to protect employees?
Finally, leaders should alert employees if a crisis occurs that directly impacts them and be clear about how the company is working to address political calamities, should they arise. Employees expect and deserve transparency, authenticity, and honesty from companies—especially in 2024.
Are you prepared for election season?
As the 2024 US Elections approach, organizations should assess their readiness for the potential impacts on their business operations, regulatory environment, employees, and customer relations. The political landscape is increasingly influencing consumer behavior, and brands must be attuned to these shifts. Consider the following questions as you prepare:
- Does your stance on political matters impact customer trust?
- What is your permissions space? What are the issues your consumers, employees, and other stakeholders have given you the license to engage?
- What values guide your brand’s decisions on when and how to take action on political and/or regulatory issues?
- What are your internal policies on voting and broader approach to civic engagement?
- What preparedness mechanisms are in place for your organization to adapt to the evolving political and regulatory landscape?
- What if one of your team members, influencers, or partners “gets political”?
- Given a Vice President Harris or former President Donald Trump win in November, how will your company respond?
Best Practices to Remember
Politics upends the business of brands. Against the backdrop of elections and conflicts around the globe, 60% of respondents across 14 countries surveyed say they are buying, choosing, or avoiding brands based on their politics.
Don’t be paralyzed by politics. Today, culture is politics and many everyday brand actions can be seen as political. In a world where silence is a stance, the question isn’t “Should I get involved in politics?” but rather “How do I navigate politics?”
Every brand has a unique permission space for action. Shared values, along with the political and cultural context, define when, why, and how a brand should act—whether the action is big or small, external or internal. A whopping 84% of consumers say they need to share values with a brand in order to buy it.
Know their politics. To know your audience means to know their politics—a fundamental difference in how relevance and trust are earned today. Be authentic and defend the values you share with customers and employees.
Action drives trust. Good business is powered by action and every brand has an opportunity to act. Know your brand’s unique permission space for clarity on when, why, and how to act.
2024 US Election Timeline
- August 19–22, 2024: Democratic National Convention (Chicago)
- September 10, 2024: ABC Presidential Debate (location TBD)
- October 1, 2024: CBS Vice Presidential Debate (New York)
- November 5, 2024: Election Day
- January 3, 2025: 119th Congress sworn in
- January 6, 2025: Congress counts electoral votes
- January 20, 2025: Inauguration Day
For more on global elections in 2024, EGA Election HQ is your guide to the moments that matter, what comes next, and what all of this means for industries and sectors. For counsel or to get in touch, reach out to Elections@edelmanEGA.com.
