Kroger, Albertson’s and Walmart are just a few of the big U.S. grocers that have committed to transitioning to sell only cage-free eggs over the next decade. But a bill in Iowa would block grocers from going entirely cage-free in the state, a move that illustrates the power of the factory farm egg industry in the country’s biggest egg-producing state.
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In the fall of 2016, the German drug, seed, and crop chemicals conglomerate Bayer announced plans to merge with the U.S. chemical and bio-tech seed giant Monsanto. Hoping to overcome objections from European anti-trust regulators, Bayer is promising to sell off its vegetable seed business to BASF, a German corporation that is currently the largest chemical maker in the world.
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When Bayer first announced its plan to purchase Monsanto, most observers focused on how much power the two corporations already wield over agricultural inputs like seeds and pesticides. But Margrethe Vestager, the European Union’s top antitrust enforcer, appears also to be focusing on how much control a combined Bayer-Monsanto would have over the data generated from private farms.
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Virginia State Senator A. Benton Chafin last week introduced a bill that would significantly hike “checkoff” taxes that cattle growers in the state must pay. The move follows efforts in other states—including recently in Oklahoma—to increase or introduce state-level checkoff taxes, which are charged in addition to the $1 per head tax collected at the federal level. Many local ranchers oppose both the tax and the idea that it will be imposed by the legislature, saying the process effectively shuts independent cattle producers out of having a say in this sector specific levy.
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On January 4, the 9th Circuit Court of Appeals struck down Idaho’s “ag-gag” law, finding it an unconstitutional violation of free speech. The decision marks the first time a federal appeals court has ruled against an ag-gag law. Opponents of the law, which had been in effect since 2014, hope that the ruling will provide a precedent for overturning ag-gag laws in several other states.
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There have been at least 33 acquisitions of restaurant brands with more than 10 locations this year. Some of the highest profile acquisitions came from private equity and investment firms, who are already major owners in the restaurant sector.
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Tyson, the largest poultry company in the U.S., has failed at its second attempt to find a location for a new meatpacking facility in Kansas. Last week, an economic development group in Sedgwick County withdrew its bid for the $320 million plant. The decision came amidst an outpouring of public backlash, and follows Tyson’s squashed attempts earlier this year to build the same facility in Tonganoxie, Kansas.
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On November 20, wine and spirits distributors Breakthru Beverage and Republic National Distributing Company (RNDC) announced that they plan to merge. The two companies are the second- and third-largest distributors, and would together have nearly a 60% market share. Experts say continued consolidation in distribution means less leverage for small retailers, and an uphill struggle for small wineries seeking distribution contracts.
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During President Donald Trump’s recent trip to China, Montana Senator Steve Daines (R-MT) negotiated a $300 million beef cattle deal between the Montana Stockgrowers Association and the Chinese e-retailer JD.com. The deal calls for the retailer to buy $200 million of cattle between 2018 and 2020, and invest $100 million in a new feedlot and packing plant in Montana. Some ranchers are concerned that this unusual deal will favor certain ranchers over others, and further concentrate power over the American livestock sector in the hands of Chinese companies.
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Anheuser-Busch InBev was consistently in the news last year as it closed its blockbuster $100 billion acquisition of SABMiller. But beyond headline-generating deals, the brewer is finding new ways to expand its reach, particularly in the craft sector. The company’s wholly-owned venture capital firm has been quietly investing in beer ratings websites, delivery services, and international craft brewers—an indication that, despite cuts to its domestic craft acquisition program, the mega-brewer is finding yet more ways to put pressure on the independent and craft beer sector.
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