03/07/05 No slowdown in ag concentration

Over the past six years the National Farmers Union has commissioned a series of studies on agricultural concentration. NFU President Dave Frederickson says the top four firms in most agricultural sectors continue to increase their stronghold. FREDERICKSON "We see concentration occurring in all major agricultural markets with one exception in the area of ethanol production." The University of Missouri study shows that the top four beef packers now dominate 83 and a half percent of the market. Four pork packers now control 64 percent of that market and the top four poultry companies now process 56 percent of the broilers in the US. One of the study's authors Doctor Mary Hendrickson says the food retail business has really changed. HENDRICKSON "The selling of food in the United States was pretty competitive for a long, long time. Since 1998 we've just seen an incredible consolidation among the top retailers to the point where you have the top two retailers now selling about 25 percent of the food that moves through supermarkets in this country. And that's up from the top five selling 27 percent of it in 1997." A decade ago four companies owned 73 percent of the ethanol market. Because of farmer owned co-ops the top four only control 41 percent of the ethanol market today. Today's Idaho Ag News Bill Scott