Oklahoma ranchers have claimed that beef processors are price gauging.You’ve probably noticed the price of beef has skyrocketed at the grocery store. Oklahoma ranchers said basic inflation is not to blame.A new lawsuit was filed in Texas. This time, it’s not the ranchers who have filed suit. It’s Sysco, a wholesaler that sells beef to places like restaurants and schools. They said the four big processing companies are driving up the price, artificially by agreeing to buy fewer cattle.Those four companies are Tyson, Cargill, JBS and National Beef.KOCO 5 talked to Scott Blubaugh, the president of American Farmers & Ranchers, which is an industry group that lobbies for the interest of ranchers. Blubaugh said the price gouging issue is nothing new.He’s testified in Congress on the issue and has even met with the president about it.Blubaugh said these four companies have so much power that they are able to dictate the market on both ends, at the price paid to ranchers and the price the rest of us pay at the grocery store.”Our farmers are very frustrated that we’re being paid much less for the cattle than what they’re really worth. And at the very same time, you’re seeing all this inflation at the grocery stores and the consumers are just at wit’s end not being able to afford the product, and we’re not making any money on it on the rancher end,” Blubaugh said.The big four producers historically have said they have done nothing wrong. Blubaugh said many similar lawsuits in the past have settled out of court for big bucks.In fact, earlier this year, one of those producers, JBS, settled a price-gouging lawsuit for more than $50 million. Earlier this month, a pork producer settled a similar lawsuit for more than $40 million.
Oklahoma ranchers have claimed that beef processors are price gauging.
You’ve probably noticed the price of beef has skyrocketed at the grocery store. Oklahoma ranchers said basic inflation is not to blame.
A new lawsuit was filed in Texas. This time, it’s not the ranchers who have filed suit.
It’s Sysco, a wholesaler that sells beef to places like restaurants and schools. They said the four big processing companies are driving up the price, artificially by agreeing to buy fewer cattle.
Those four companies are Tyson, Cargill, JBS and National Beef.
KOCO 5 talked to Scott Blubaugh, the president of American Farmers & Ranchers, which is an industry group that lobbies for the interest of ranchers. Blubaugh said the price gouging issue is nothing new.
He’s testified in Congress on the issue and has even met with the president about it.
Blubaugh said these four companies have so much power that they are able to dictate the market on both ends, at the price paid to ranchers and the price the rest of us pay at the grocery store.
“Our farmers are very frustrated that we’re being paid much less for the cattle than what they’re really worth. And at the very same time, you’re seeing all this inflation at the grocery stores and the consumers are just at wit’s end not being able to afford the product, and we’re not making any money on it on the rancher end,” Blubaugh said.
The big four producers historically have said they have done nothing wrong. Blubaugh said many similar lawsuits in the past have settled out of court for big bucks.
In fact, earlier this year, one of those producers, JBS, settled a price-gouging lawsuit for more than $50 million. Earlier this month, a pork producer settled a similar lawsuit for more than $40 million.
