On Saturday, President Donald J. Trump issued an executive order titled, “Addressing Security Risks from Price Fixing and Anti-Competitive Behavior in the Food Supply Chain.” The order directs the attorney general and the chairman of the Federal Trade Commission to each establish a task force to determine whether anti-competitive behavior exists in food supply chains and whether control by foreign entities is increasing the cost of food in the United States.
Previously, on Nov. 7, Trump directed the U.S. Department of Justice to initiate an investigation into meatpacker practices to determine if they have been engaged in anti-competitive and antitrust practices.
R-CALF USA CEO Bill Bullard issued the following statement in response to Trump’s Dec. 6 executive order.
“We applaud the president for his monumental action to expand and coordinate his initial directive for an investigation into the meatpacking industry to include the Federal Trade Commission, which has jurisdiction over retail practices.
“We have long complained that the ever-widening spread between cattle prices and beef prices raises serious questions regarding whether both beef packers and retailers are exploiting their respective market powers along the beef supply chain to the detriment of both consumers and cattle producers.
“The president’s action is a meaningful response to consumer concerns regarding beef affordability. This coordinated investigation promises to reform the beef supply chain by restoring genuine market competition, which, of course, will ensure that beef prices are determined by competitive market forces and not by monopolistic control.
“We continue to call upon Congress to enact mandatory country-of-origin labeling (MCOOL) while the president’s investigation is unfolding so consumers can immediately choose whether to purchase lower-cost imported beef or the highest quality beef produced by America’s cattle farmers and ranchers.”
