Multiple agriculture markets have seen consolidation, and the National Farmers Union is working to combat the problems that arise from that situation. With the Farm Bill expiring in September 2023, it is important to generate discussion now on how to fight consolidation in the agriculture industry.
Mike Stranz is the Vice President of Advocacy at National Farmers Union. He shares more about what is top of mind for them before the 2023 Farm Bill is put into motion.
“Consolidation eats away at farmers’ economic viability and at our rural communities,” says Stranz. “We are very much opposed to further consolidation.”
Stranz breaks down consolidation, explaining that a concentration ratio is applied to different markets. The top 4 firms of any given market are assessed, and if the ratio of those top 4 firms is 40% or greater control of the market, then there is a monopoly. The beef market currently has a concentration ratio of 85%.
The consolidation of the beef market has led to lower prices for producers and fewer choices for marketing. Stranz hopes to reach leaders on capitol hill to address some of these issues. He explains that the strength of NFU’s voice lies in their membership. Members can fly in to Washington D.C., write to their leaders, and start discussion on these topics.
Jody Erickson says
Start looking at the benefits of very small farms. Ours is 6 acres and we are hampered by a town board that refuses to believe that small farms have value. The restrictive ordinances surrounding farm operations prevent us from putting food on the table of community members. We raise healthy animals, practice regenerative operations. We have a long list of people who support us and 1 board member put a stop to us. You should know her, she is a farmer herself and is part of the Farm Bureau, Marcy and Ross Bishop. Until all types of farms have the opportunity to be welcomed and encouraged you will continue to see consolidation and the death of traditional agriculture. You want to protect farms and their communities? Then I suggest to actually realize that farming needs to change and welcome those of us who start very small. Push your town boards and your Bureau members to be better and eliminate the ability of individuals to dictate how others feed their communities.