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"&amp;lt;p&amp;gt;It\u2019s no secret that food production is &amp;lt;a href=&amp;quot;http://www.secretsofthefed.com/wp-content/uploads/2013/03/food-industry-consolidation.jpg&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;1&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;highly consolidated&amp;lt;/a&amp;gt;. According to Mary Hendrickson, a professor of food and agriculture sociology at the University of Missouri-Columbia, just &amp;lt;a href=&amp;quot;http://www.emeraldinsight.com/doi/abs/10.1108/00070700110696742&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;2&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;20 feedlots manage half of the cattle&amp;lt;/a&amp;gt; in the United States and are directly connected to the four processing firms that control 81 percent of beef processing. Across industry sub-sectors such as manufacturing and retail, corporate giants dominate supply chains. In 2001, the five largest U.S. supermarket chains accounted for over 40 percent of food retail sales, &amp;lt;a href=&amp;quot;http://www.emeraldinsight.com/doi/abs/10.1108/00070700110696742&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;3&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;according to Hendrickson&amp;lt;/a&amp;gt;. Mega-mergers among these corporations leave consumers with artificially high prices and an illusion of choice, while farmers are increasingly unable to fight the pricing power of supplier conglomerates.&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;The Federal Trade Commission (FTC) recently &amp;lt;a href=&amp;quot;http://www.nytimes.com/2015/02/20/business/dealbook/ftc-challenges-merger-of-sysco-and-us-foods.html?_r&amp;amp;#61;0&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;4&amp;quot;&amp;gt;filed suit&amp;lt;/a&amp;gt; against a Sysco takeover of US Foods, contending that the move would cause the company to control 75 percent of the broadline food service industry, which supplies industrial kitchens in the United States. \u201CThis proposed merger would eliminate significant competition in the marketplace and create a dominant national broadline foodservice distributor,\u201D said Debbie Feinstein, the Director of the FTC\u2019s Bureau of Competition. \u201CConsumers across the country, and the businesses that serve them,\u00A0benefit from the healthy competition between Sysco and US Foods, whether they eat at a restaurant, hotel, or a hospital.\u201D An administrative trial will begin on July 21, 2015.&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;Heinz announced on March 25, 2015, that the company will buy Kraft Foods in a US$45 billion &amp;lt;a href=&amp;quot;https://www.washingtonpost.com/news/business/wp/2015/03/25/heinz-will-buy-kraft-foods-in-mega-merger-for-american-food/?postshare&amp;amp;#61;2851427410453304&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;5&amp;quot;&amp;gt;mega-merger&amp;lt;/a&amp;gt;. The consolidation of these companies into Kraft Heinz will create North America\u2019s third largest food empire, topped only by Nestle and PepsiCo. Sales of both companies have been slipping, due to changing consumer preferences for healthier foods. While the boards of both companies unanimously approved the deal, the merger will still need to get past shareholders and federal anti-trust regulators before closing.&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;It\u2019s not yet clear whether the FTC will file suit against Kraft Heinz. \u201CJust getting bigger is not a violation of antitrust,\u201D said Ben Gomes-Casseres, a professor at the Brandeis International Business School in Boston. \u201CThese two are not in the same market, besides being processed foods\u2026I don\u2019t expect the price of ketchup to go up.\u201D Others anticipate that the merger could lead to higher prices for consumers, due to the shrinking number of food manufacturers and retailers.\u00A0 \u201CAll these food-space mergers give [buyers] the illusion of choice. They\u2019re thinking, \u2018Oh gosh, look at all these brands,\u2019 \u201D said Diana Moss, president of the \u200B&amp;lt;a href=&amp;quot;http://www.antitrustinstitute.org/&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;6&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;American Antitrust Institute&amp;lt;/a&amp;gt;. \u201CBut what the consumer doesn\u2019t see is the smaller and smaller number of manufacturers maintaining those brands.\u201D&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;&amp;lt;a href=&amp;quot;http://www.aol.com/article/2015/03/24/food-company-mergers-diversification/21156912/?gen&amp;amp;#61;1&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;7&amp;quot;&amp;gt;Other recent big-ticket buyouts&amp;lt;/a&amp;gt; have included Hershey\u2019s acquisition of Krave Pure Foods, J.M Smucker\u2019s purchase of Meow Mix, and Tyson Foods\u2019 takeover of Hillshire Brands. Leaders of the investment firm 3G, which negotiated the Kraft Heinz deal, are reportedly eyeing Campbell Soup Co and PepsiCo for takeover. &amp;lt;a href=&amp;quot;http://blogs.marketwatch.com/thetell/2014/08/26/why-3g-capital-wont-flip-its-burger-king-tim-hortons-deal/&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;8&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;3G is also&amp;lt;/a&amp;gt; the private equity group behind Burger King\u2019s acquisition of Tim Horton\u2019s. &amp;lt;a href=&amp;quot;https://www.washingtonpost.com/news/business/wp/2015/03/25/heinz-will-buy-kraft-foods-in-mega-merger-for-american-food/?postshare&amp;amp;#61;2851427410453304&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;9&amp;quot;&amp;gt;According to famed investor Warren Buffet&amp;lt;/a&amp;gt;, \u201Cthese guys have global ambitions.\u201D\u00A0&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;A merger or outright acquisition isn\u2019t the only way of consolidating corporate control in the food sector. Coco-Cola has incrementally purchased shares of Green Mountain Coffee Roasting (GMCR), which is poised to expand its \u200B\u200B&amp;lt;a href=&amp;quot;https://www.youtube.com/watch?v&amp;amp;#61;uRGiGbX9lIo&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;10&amp;quot;&amp;gt;Keurig products&amp;lt;/a&amp;gt; internationally. By slowly increasing its share of stock in the company, Coca Cola is increasing its stake in the success of GMCR, and could be preparing for an eventual acquisition.&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;Organic brands have been subject to the same industry consolidation. In September of 2014, General Mills &amp;lt;a href=&amp;quot;http://dealbook.nytimes.com/2014/09/08/general-mills-to-buy-annies-for-820-million-in-cash/&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;11&amp;quot;&amp;gt;acquired&amp;lt;/a&amp;gt; Annie\u2019s Homegrown, best known for its organic mac and cheese, for US$820 million in cash. Dr. Phil Howard, an Associate Professor at Michigan State, keeps track of \u201Cwho owns organic,\u201D publishing &amp;lt;a href=&amp;quot;http://www.cornucopia.org/wp-content/uploads/2014/02/Organic-chart-feb-2014.jpg&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;12&amp;quot;&amp;gt;charts&amp;lt;/a&amp;gt; that illustrate industry structure. \u201CConsumers who want food companies that embody more of the original organic ideals would do well to seek out products from independent organic firms,\u201D Howard &amp;lt;a href=&amp;quot;http://www.cornucopia.org/who-owns-organic/&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;13&amp;quot;&amp;gt;advises&amp;lt;/a&amp;gt;. \u201CGiven the very uneven playing field they are competing in, independent organic processors are &amp;lt;a href=&amp;quot;http://www.foodandwaterwatch.org/news/farmers-pay-price-consolidation-organic-food-industry&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;14&amp;quot;&amp;gt;unlikely to survive&amp;lt;/a&amp;gt; without such support.\u201D\u00A0&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;There are reasons that anti-trust laws exist. By dominating market share, a handful of companies are able to &amp;lt;a href=&amp;quot;http://www.slate.com/articles/life/food/2014/03/meat_racket_excerpt_how_tyson_keeps_chicken_prices_high.html&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;15&amp;quot;&amp;gt;dictate prices&amp;lt;/a&amp;gt; and squeeze out smaller producers. &amp;lt;a href=&amp;quot;http://www.cnbc.com/2014/06/03/ma-why-were-likely-to-see-more-food-industry-mergers.html&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;16&amp;quot;&amp;gt;To stay competitive&amp;lt;/a&amp;gt; in an atmosphere of corporate mergers, even the largest firms must be constantly moving to gobble up prospective profit-makers. Mega-corporations in the food industry are also able to negotiate &amp;lt;a href=&amp;quot;http://iatp.org/tradesecrets/fast-track.html&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;17&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;international trade deals&amp;lt;/a&amp;gt;, undermining local and regional food systems.&amp;lt;/p&amp;gt;&amp;lt;p&amp;gt;Buying from local and regional producers is important in sustaining small businesses, and asking institutions to do the same can scale up the purchasing power of consumers that believe in truly competitive and resilient markets for sustainable food. &amp;lt;a href=&amp;quot;http://foodtank.com/organization/health-care-without-harm&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;18&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;Health Care Without Harm&amp;lt;/a&amp;gt; is working to &amp;lt;a href=&amp;quot;https://noharm-uscanada.org/issues/us-canada/local-sustainable-purchasing-initiative&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;19&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;improve local sourcing&amp;lt;/a&amp;gt; in hospitals\u00A0and is soliciting &amp;lt;a href=&amp;quot;https://noharm-uscanada.org/articles/news/us-canada/take-2015-healthy-food-health-care-survey&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;20&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;survey responses&amp;lt;/a&amp;gt; from consumers of health care services. &amp;lt;a href=&amp;quot;http://foodtank.com/organization/real-food-challenge&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;21&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;Real Food Challenge&amp;lt;/a&amp;gt; is campaigning to remove corporate food from college and university dining halls, emphasizing the importance of local and regional purchasing for sustainable supply chains. The &amp;lt;a href=&amp;quot;http://foodtank.com/organization/national-farm-to-school-network&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;22&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;National Farm to School Network&amp;lt;/a&amp;gt; is connecting school lunches to local farms, cutting out corporate distributors and food manufacturers. It\u2019s &amp;lt;a href=&amp;quot;http://foodtank.com/news/2014/04/think-global-buy-local-a-new-study-looks-at-the-impact-of-buying-local-prod&amp;quot; data-component=&amp;quot;link&amp;quot; data-source=&amp;quot;inlineLink&amp;quot; data-type=&amp;quot;externalLink&amp;quot; data-ordinal=&amp;quot;23&amp;quot; rel=&amp;quot;nofollow&amp;quot;&amp;gt;vital to support these local and regional sourcing initiatives&amp;lt;/a&amp;gt; and ask schools and institutions to do the same.&amp;lt;/p&amp;gt;"^^<http://www.w3.org/2001/XMLSchema#string>
<https://www.verywell.com/food-mergers-threaten-competition-1326900>