Open Markets and Farm Action hosted farmers and other food business owners in Washington, DC to assess the Biden administration’s commitment to restoring fair competition in the food system.
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President Biden’s executive order directs government agencies to promote competition across the economy, with over 70 recommendations. Here’s what it means for food and farm systems.
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“We need a moratorium here in Iowa. We’ve got too many factory farms.” That’s Adam Mason, state policy director with Iowa Citizens for Community Improvement. He’s not alone in his desire for dramatic action to be taken against the proliferation of factory farming in his state. Communities across the country are standing up against corporate, industrial farming in their towns and cities. This growing anger is in part a response to weak state and federal protection of open and competitive livestock markets.
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After largely ignoring one of the most extreme periods of concentration in U.S. history, President Obama on April 15 acknowledged that America has a monopoly problem. He did so by signing an Executive Order that pushes executive departments and agencies to use their rule-making authority to promote competition wherever possible.
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A generation ago, America’s farm and food economy was dominated by small family enterprises. Today, just four companies control 65 percent of pork slaughter, 84 percent of cattle slaughter, and 53 percent of chicken slaughter. Milk production is largely shaped by one large processor, Dean Foods, and one large cooperative, Dairy Farmers of America. Recent mergers, such as the Brussels-based Delhaize’s (Food Lion) acquisition of the Dutch company Ahold (Giant, Stop & Shop), have reduced the number of large grocers down to four. What does all this consolidation mean for our food economy?
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