Farmers are finding out when government gets out of the way, a popular conservative theme, corporate monopolies step in as a replacement. Who could have seen that coming?
ABCNews/AP: New antitrust rules for meatpackers face growing opposition among Republicans in Congress … The reforms, which would redraw the balance of power between meat companies and the farmers and ranchers who raise animals for them, have been one of the administration's signature efforts in addressing the growing concentration of corporate power in agriculture.
To win a lawsuit now, they have to prove a company's actions harmed competition in the entire industry. Under the new rule, farmers and ranchers would need to prove only that they were personally harmed.
Another words, the new rules would prevent meatpackers from requiring uncompensated mandates on suppliers, allow price negotiations and give control back to farmers. But that's not how some Republicans see it:
Rep. Frank Lucas, R-Okla., the new Agriculture Committee head, said "The primary concern is about the potential adverse impact on producers..."
Agriculture Secretary Tom Vilsack has said the reforms could help stimulate rural economies where just a few companies dominate livestock production, Many farmers and ranchers have long complained about their lack of power. Ranchers say there are so few meatpackers buying cattle that they can discriminate against those they don't like.
Both practices would be banned under the new law, which meatpackers say would add to their costs and result in layoffs in an industry with historically thin profit margins.
The doom and gloom, sky is going to fall scenario. But for conservative voters, it's pretty clear who Republican politicians represent today, and it's not them.
Chicken farmer Bill Harvill, 51, said he's a political conservative who's usually opposed to more government regulations. But, he's hoping the USDA's antitrust division, called the Packers and Stockyards Administration, puts the new rules in place and he's offended by Republican opposition to them.
"It needs to be of great concern to the Republican party as to how farmers are treated out here in the real world by corporations," Harvill said. He said he has little bargaining power with the company over how much he gets paid. The new rules "would be more like giving the grower a voice with the company that they would at least have to listen to," Harvill said.
Bill Bullard, chief executive of R-CALF USA, which represents ranchers and supports the new rule, suggested corporate influence is behind much of the opposition.
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