Jayapal, Deluzio, Ryan Introduce Legislation to Break Up Meatpacking Monopolies, Drive Down Grocery Costs

WASHINGTON, D.C. - U.S. Representatives Pramila Jayapal (WA-07), Chris Deluzio (PA-17), and Pat Ryan (NY-18), co-chairs of the Monopoly Busters Caucus, are introducing the Family Grocery and Farmer Relief Act, legislation to break up dominant meatpacking monopolies, rein in foreign-controlled corporate giants, and end unfair pricing practices that raise costs for American families and box out local farmers and ranchers. The legislation is bicameral, introduced in the Senate by Democratic Leader Chuck Schumer (D-NY).

"Massive corporations are driving up prices, making it unaffordable for working people to put food on the table," said Jayapal. "It is a failure of our government to have allowed these corporate interests to swallow up the market, raising costs and putting hundreds of thousands of family farms out of business in the process. This bill is a critical step to level the playing field - to give independent ranchers and farmers a fair shot while ultimately lowering grocery bills for American families."

"Meatpacking monopolies are crushing hard-working small farmers, ranchers, and business owners-and are jacking up food prices for all of us," said Congressman Deluzio. "In the richest country in the history of the world that likes our meat, we can't let it become a luxury good. Let's pass this bill to break up these monopolies and bring some relief to everyone they're squeezing at the grocery store right now."

"Every time we walk into the grocery store, Hudson Valley families are getting squeezed by high prices because a few greedy corporations are raking in record-breaking profits. That's unacceptable. Instead of taking on the monopolies driving up costs, like the four meatpacking companies that dominate the market, our fundamentally broken system rewards their greed while punishing our family-run grocers, farms, and restaurants," said Congressman Pat Ryan. "As the President's wars and tariffs hurt our small businesses, we should be focused on lowering costs, strengthening our supply chains, and putting working families ahead of corporate special interests. This bill would break up the monopolies jacking up costs and give our local grocers and farms some extra support. I'll keep fighting to crack down on price gouging, take on greedy monopolies, and make sure every family can afford to put food on the table."

"Trump keeps driving prices higher and higher. The American people are rightfully fed up," said Leader Schumer. "Every visit to the grocery store has turned into relentless sticker shock for working families. It's a consequence of Trump's failed economic policies and the stranglehold the meatpacking monopoly holds over supply chains and grocery stores. Democrats in the Senate and House are united in bringing down costs for consumers, and I'm proud to champion the Family Grocery and Farmer Relief Act to tackle the skyrocketing food costs and deliver the relief working families demand and deserve.

Consolidation in the meatpacking industry is rampant. For instance, 85 percent of the U.S. beef market is controlled by just four companies: Cargill, JBS, Tyson, and the National Beef Packing Company. This corporate consolidation allows these giants to unfairly extract value and take home maximum profits at the expense of farmers and consumers.

The Family Grocery and Farmer Relief Act imposes structural reforms to restore competition to the industry. Specifically, it:

1. Makes it unlawful for a major meatpacking conglomerate to control more than one major type of meat, i.e., pork, chicken, beef;
2. Imposes hard caps on the concentration of beef markets at both the regional and national levels and authorizes the Federal Trade Commission (FTC) to order divestiture from the market if those caps are exceeded;
3. Prohibits foreign leverage over the domestic meat market, empowering FTC to protect competition and national security;
4. Directs the FTC to enforce against discriminatory pricing practices in retail and wholesale meat markets that hit independent and neighborhood grocers the hardest;
5. Authorizes the Small Business Administration (SBA) to provide financial assistance, loan guarantees, and technical assistance to farmers' cooperatives and small business concerns to acquire meatpacking facilities divested under the Act; and
6. Creates enforceable penalties for corporations that fail to properly divest, enforceable under the FTC Act.

This legislation builds upon a field hearing hosted by the Monopoly Busters Caucus earlier this year in which an independent rancher testified to the harmful effects of consolidation in the meatpacking industry.

"North Dakota has some of the highest quality beef in the nation, and my fellow ranchers deserve a larger share of the profit for their hard work," said Travis Anderson, North Dakota cattle rancher and member of Dakota Resource Council and the National Family Farm Coalition. "Breaking up the dominant meat processing companies while addressing horizontal integration would make the overall industry more fair and competitive, while also providing consumers with more affordable and abundant choices at the grocery store."

"The Family Grocery and Farmer Relief Act takes on a root cause of the factory farm system that has devastated rural communities, workers, public health, and family farmers - the market power of a handful of giant meatpackers," said Patty Lovera, policy advisor for the Campaign for Family Farms and the Environment. "It's time to break up the massive companies that have consolidated livestock production and rigged the market against independent producers."

"Today, we will lose 63 farmers, and at the same time, Americans struggle to feed their families, and that's no accident," said Joe Maxwell, president of Farm Action Fund. "It's the predictable result of decades of unchecked consolidation that has allowed a handful of corporations to control our food system. As a fourth-generation family farmer, I have witnessed this takeover firsthand. The Family Grocery and Farmer Relief Act begins restoring the freedom to farm, the freedom to compete, and the freedom for families to afford the food they need. We applaud Representatives Jayapal, Deluzio, Ryan, and the other sponsors for confronting concentrated corporate power and standing with America's farmers, workers, and consumers."

"For decades, four meatpacking giants have used their monopoly power to drive up grocery bills and squeeze out the farmers and ranchers who feed America," said Morgan Harper, Director of Policy and Advocacy at the American Economic Liberties Project. "Rep. Jayapal's bill takes direct aim at the root of the problem by breaking up the big four meatpackers and restoring real competition. Americans deserve food markets that reward hard work, not corporate gatekeepers. Congress should seize this opportunity to stand with families, farmers, and independent businesses instead of monopoly power."

The Family Grocery and Farmer Relief Act is also sponsored by Representatives Yassamin Ansari (AZ-03), Becca Balint (VT-AL), Valerie Foushee (NC-04), Maxwell Frost (FL-10), Jesus G. "Chuy" Garcia (IL-04), Eleanor Holmes Norton (DC-AL), Henry C. ("Hank") Johnson, Jr. (GA-04), Summer Lee (PA-12), Emily Randall (WA-06), Shri Thanedar (MI-13), and Bonnie Watson Coleman (NJ-12).

It is endorsed by American Economic Liberties Project (AELP), Campaign for Family Farms and the Environment (CFFE), Consumer Federation of America, Demand Progress, Farm Action Fund, Food & Water Watch, Groundwork Action, Montana Cattlemen's Association (MCA), National Family Farm Coalition (NFCC), Open Markets Institute (OMI), and Small Business Majority.

Issues: Jobs, Labor, & the Economy