The U.S. Department of Justice is intensifying its investigation into possible antitrust violations in the beef packing industry, prompting renewed calls from ranching groups for greater competition and market transparency.
Federal officials says investigators are examining whether consolidation among the nation’s largest meatpackers contributed to inflated beef prices for consumers and reduced prices paid to cattle producers.
The four largest beef processors control roughly 85% of the fed cattle market, according to the DOJ. Acting Attorney General Todd Blanche encouraged industry insiders to provide information through the department’s whistleblower program, which could award up to 30% of penalties in qualifying cases.
Agriculture Secretary Brooke Rollins says consolidation has weakened negotiating power for ranchers and increased dependence on a small number of buyers, according to the Oklahoma Farm Report.
Ranching groups, including R-CALF USA, welcomed the investigation and urged reforms aimed at strengthening rural economies and protecting independent cattle producers.
