(Andy Muir/Flickr)
AUSTIN, Texas - The office of the Texas attorney general is launching an investigation into the major movers in the meat packing industry, claiming that potential anticompetitive conduct has jacked up grocery prices.
Meat packing investigation
The investigation was announced Friday by Texas AG Ken Paxton, who said he will work with the DOJ to probe JBS S.A.; Tyson Fresh Meats, Inc.; Cargill, Inc.; and National Beef Packing Co. Paxton says these four companies control over 85% of the nation’s beef processing market.
The release says reports have shown those companies may have used their dominance to decrease the prices paid to cattle ranchers while simultaneously driving up beef prices for consumers.
According to Paxton, they have reaped enormous profits at the expense of Texas cattle ranchers and consumers nationwide.
DOJ confirms antitrust probe of major meatpackers over beef price inflation
The Justice Department confirmed its active investigation of potential antitrust violations in U.S. cattle and beef markets, reviewing more than 3 million documents and interviewing industry participants as federal officials scrutinize whether highly concentrated meatpacking power has contributed to high beef prices.
What they're saying:
"Texans deserve fairly priced beef and our state’s cattle ranchers deserve to be paid fairly for their hard work," said Paxton. "If major meatpackers manipulated the market to underpay ranchers while forcing families to pay higher prices at the grocery store, we will hold them accountable. My office will aggressively investigate any violations of antitrust law to protect fair competition, ranchers, and Texas consumers."
The Source: Information in this article comes from the office of Ken Paxton.