On Jan. 3, a show meeting took place at the White House, with several Cabinet members alongside farmer and rancher representatives, at which the Biden Administration expressed concern over the domination of the Big Four meat processor monopolies in the U.S. over ranchers and farmers, and the low prices to producers, but high meat prices to consumers. The Administration announced the “Biden-Harris Action Plan for a Fairer, More Competitive, and More Resilient Meat and Poultry Supply Chain” Fact Sheet posted to the White House website on Jan. 3. (https://www.whitehouse.gov/briefing-room/statements-releases/2022/01/03/fact-sheet-the-biden-harris-action-plan-for-a-fairer-more-competitive-and-more-resilient-meat-and-poultry-supply-chain/)
The Jan. 3 fact sheet by that name states that the Administration “will dedicate $1billion in American Rescue Plan funds for expansion of independent processing capacity.” The fact sheet identifies eight points of “urgent need” to be addressed, of wish-list goals, ranging from “Increase producer income” to “provide consumers with more choices.” Not surprisingly, there were no commitments to the kind of measures that would change the existing system of cartels.
This is especially grim, given the world’s need for emergency food, and the capacity of the U.S. farm and ranch sector, however besieged, that could be mobilized to meet that need.
The Big Meat cartel of packers—Cargill, Tyson, JBS, Marfrig, Smithfield—operate in the U.S. by exerting take-it-or-leave-it price control to underpay producers, and overcharge consumers. What is required is anti-trust to bust them up, and a policy favoring independent producers, processors, wholesalers and retailers.
Instead, what was announced was a new portal for livestock producers to file complaints, and backing for bipartisan legislation in Congress “to make cattle markets fairer and more transparent.”
That same evening, R-CALF USA held an online meeting, with 600 rancher participants, pointing out the lack of action.
Mike Callicrate, the Kansas/Colorado cattleman leader, and direct-to-consumer processor, issued his own message within minutes after the finish of the Zoom broadcast of the White House meeting. It stated, “Dear President Biden, Without fair market access and the following reforms, pouring resources into new and existing food processing and distribution infrastructure is a waste of time and money. First we must:
“• Strengthen antitrust law enforcement—Break up monopoly power;
“• Truth in labeling—Stop food fraud. Nab false, misleading, and deceptive labeling.
“• Subsidies—Stop subsidizing industrial ag
“• Inspection—Stop favoring large plants over small processors.”
