Farmers Asking for Market Fairness and More Competition May Get it Under New Federal Pressure

(KNSI) – Farmers and advocates who have been asking for more protections for years regarding market concentration may soon be getting their wish.

According to Farm Aid, four companies control roughly 80% of the country’s food supply, including production, processing, and distribution. They say that is not conducive to a healthy economy; rather, multiple producers selling goods to multiple buyers create an “open, competitive market.”

The United States Department of Agriculture is now being instructed to create rules to make it easier for producers to file complaints. One advocate says the move may not hit home with the general public, but Minnesota Farmers Union President Gary Wertish says it’s huge for his industry because farmers are just asking for a fair shake, adding, “Everybody’s the same. Everybody wants to be treated fairly no matter what type of job they are in, and how they work and farmers are no different.”

He says farmers get paid less for their livestock in a heavily concentrated market, and consumers are left holding the bag, having to pay more on the back end at the grocery store.

Opponents of the move, like the North American Meat Institute, call it a bad idea and it will “limit producers’ ability to market their livestock the way they see fit and will lead to costly, specious lawsuits,” according to Julie Anna Potts, President, and CEO of the North American Meat Institute.

Another sticking point with the Minnesota Farmer’s Union is curtailing the use of the “Made in the USA” label, saying livestock can be raised overseas, minimally processed in the U.S., and still get the label, which he calls unfair to Minnesota farmers. “We’re proud of the job that we do, and we should be able to proudly display that on the label and the consumer should know what they’re actually buying.”

According to the USDA, in 2019, the top agriculture commodities by cash receipts in Minnesota are corn, soybeans, hogs, cattle and calves, and dairy products, bringing in more than $16.6 billion.

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MNC Reporter Mike Moen contributed to this report.

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