Merger may be bad news for ranchers
Karl Anderson
Alamogordo Daily News
Sen. Jeff Bingaman is warning that the acquisition of two beef processors by the world’s largest beef producer could have a significant impact on cattle ranchers in Otero County.
The Brazilian-owned JBS Corporation announced last month that it has arranged to purchase Smithfield Beef Group and National Beef Packing Company, which will make JBS the largest beef producer in the United States.
“JBS’ proposal to acquire these two U.S. beef processors would give a single company control of about one-third of the domestic market and a monopoly in many areas of the county,” Bingaman said in an interview Tuesday. “I am concerned about the possible antitrust implications of the acquisition, as well as its impact on competitive market access for the many small and independent cattle growers (including) those in Otero County, who are vulnerable to unfair market pricing.”
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