Poultry giants turn market dominance into political influence

By Jessica Cusworth, Farm Action

The Trump administration’s move to withdraw or delay three USDA competition rules illustrates how concentrated economic power can translate into political power. The rules would have required poultry companies to disclose more about grower compensation, restricted retaliation against farmers who speak out and curbed abuses in the industry’s tournament payment system.

Those protections threatened a market dominated by Tyson Foods, Pilgrim’s Pride, Wayne-Sanderson Farms and Mountaire Farms. Together, the four companies control 58% of the poultry industry, leaving many contract growers with few alternatives while corporations control production decisions and farmers assume much of the financial risk.

The industry’s largest companies and owners have also invested heavily in political influence. JBS, the majority owner of Pilgrim’s Pride, donated $5 million to the Trump-Vance Inaugural Committee and spends hundreds of thousands of dollars each quarter on lobbying. Mountaire owner Ronald Cameron has contributed millions more to Republican committees and political action groups.

Independent farmers cannot match that level of access. The rollback shows how dominant corporations can use profits generated through market concentration to influence the government rules meant to restrain them — preserving a contracting system that keeps growers dependent, vulnerable and politically outmatched.

Read more: https://farmaction.us/from-market-power-to-political-power-how-poultry-giants-shape-the-rules/