Senator Mike Rounds reintroduces anti-competitive legislation in meatpacking industry

US Senators Mike Rounds (R-SD), Chuck Grassley (R-Iowa), Ron Wyden (D-Ore.) and Peter Welch (D-Vt.) have reintroduced bipartisan legislation in a continuing effort to address anticompetitive practices in the meat and poultry industries. The group of senators believe the anti-competitive practices threaten the nation’s food supply and national security. Rounds and Grassley first introduced this legislation in June 2021.

The Meat and Poultry Special Investigators Act would create the “Office of the Special Investigator for Competition Matters” within the US Department of Agriculture (USDA). The office would consist of a team of investigators with the power to subpoena to prevent anticompetitive practices among large players in the meat and poultry industries.

“Anticompetitive practices in the meatpacking industry hurt producers and consumers alike,” Rounds said. “Currently, four large companies, two of which are foreign-owned, control over 80% of the meat processing market. Our legislation would establish an office within the USDA to investigate violations of the Packers and Stockyards Act of 1921, which will support competition in meat and poultry markets.”

Senator Grassley believes the bill will give the USDA the ability to keep the largest meatpacking companies in check and allow producers the opportunity to receive fair prices for their livestock.

“For decades, America’s Big Four meatpackers’ anticompetitive practices have made it harder for Iowa cattle producers to receive a fair price,” Grassley said. “Our bill empowers USDA, in coordination with the Justice Department and Federal Trade Commission, to crack down on bad actors, ensuring a fair and functional marketplace that supports everyone who produces and enjoys quality American meat.”

Senator Wyden added, “For too long, Oregon ranchers and consumers have been greedily exploited by the Big Four meatpackers that sneak their way around regulations, while local ranchers work tirelessly day and night to support their small business and feed families across the country. These big companies keep raking in bigger bills at the expense of local communities in red and blue states alike. It’s way past time to level the playing field for local ranchers and bring grocery prices down for consumers at the meat counter by better enforcing laws that are already on the books.”