News Meat
CEOs of meat giants heard by politicians about inflation
The CEOs of major US meat processors Cargill, JBS, Tyson Foods and National Beef Packing will testify before US Congress. The session is about the beef market and the sharply increased prices for consumers.
The hearing is an initiative of the agricultural committee of the 'House of Representatives', part of the US Congress. The committee considers it important that the CEOs explain their views on the state of affairs. The meat processing companies in the United States have made billions in profit in recent years. At the same time, prices for livestock farmers have not increased sufficiently. US President Joe Biden already announced a package of measures in January to promote competition in the sector.
Forbidden price agreements are commonplace?
In the past, many American meat processors have been reprimanded by the government. Although it almost never comes to an actual conviction, the large meat companies have filed lawsuits several times regarding prohibited price fixing tens of millions of dollars bought off.
During the hearing before the congress, livestock farmers and representatives from the agricultural sector will also explain what the market power of the large companies means for their position in the chain. Recently, there has been more political call for action against market power. The market structure is partly responsible for consumer food price inflation, it is said.
Steve Wissink
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