The United States Department of Agriculture has issued a report saying meat-industry concentration threatens those at both ends – farmers and ranchers and independent retailers – and should be regulated more vigorously.
That would include enhanced market surveillance, enforcing subpoenas and possibly updating the Packers & Stockyards Act policies.
The interim report is part of a U.S.D.A.-led investigation under the Packers and Stockyards Act and highlighted how concentrated control among large meat packers, distributors and retailers may stifle competition through pricing structures, fees and preferential treatment, ultimately affecting market access for smaller producers and independent retailers.
Noting the industry’s economic significance — beef alone comprises 17 per cent of U.S. agricultural revenue — the report said concentration in meat processing and retailing has escalated over the last 40 years, while smaller livestock operations have sharply declined.