August 20th, 2009 By Paula Crossfield
This morning, I woke up to an NPR report that began like this:
Since the 1980s, American agriculture has become increasingly concentrated. Today, less than 2 percent of farms account for half of all agricultural sales. The new antitrust division of President Obama’s Justice Department has said that scrutinizing monopolies in agriculture is a top priority.
That shift is giving hope to independent farmers, who have complained for years that agriculture giants are shrinking the marketplace and paying farmers less for their products.
Naturally, this got me right out of bed, as I have been reporting on the role competition plays in agriculture of late here on Civil Eats, and because the media barely batted an eyelash when the Department of Justice (DOJ) sent out a press release a week ago about the public workshops that will be held all over the US beginning in early 2010 to find out from farmers about possible anti-competitive behavior in agricultural markets. Read More
Tags: agricultural consolidation, competition, Department of Justice, GMOs, Jim Cramer, monopoly, Monsanto, seed ownership, trusts
August 6th, 2009 By Paula Crossfield
Yesterday, the news wire sparked with some really good news — Attorney General Eric Holder and Secretary of Agriculture Tom Vilsack are joining together to hold public discussions on “competition issues affecting the agriculture industry in the 21st century and the appropriate role for antitrust and regulatory enforcement in that industry.” This is the first time any such talks will have been held on an industry that is massively consolidated and under-regulated.
For example, did you know that in 2006, 83.5% of beef-packing was controlled by 4 companies, same goes for 66% of pork packing, 58.5% of the chicken processing and 55% of turkey processing. Similar numbers exist for the seed companies, the grain processors bringing animal feed to feedlots and HFCS to most of the packaged foods in the supermarket, and the supermarket retailers themselves. Numbers this high indicate a lack of competition. Read More
Tags: agricultural sector, agriculture, competition, eric holder, tom vilsack, trustbusting