Cook-out staple may be more expensive
Many people choose to cook out on Memorial Day, but consumers might see higher prices for ground beef. James Halverson, the executive director of the South Dakota Stockgrowers Association, said 80 to 85 percent of the beef products are processed by four major meat packers. And the four major companies would be able to demand the prices from both cattle market and retail market.
"There's been some pretty strong evidence that they [four major packers] have been colluding together and may be price fixing, price gauging, because they tell the ranchers what they're going to give them for the cattle, and they also tell the retailers..., what they're going to pay for that beef, so there's sort of price gauging on each end," Halverson gave an example of the possible reasons for higher beef prices.
Halverson mentioned, some investigation on the prices has been initiated by USDA, and by Department of the Justice. Halverson also said, there should be a look into the market by the Senate, hopefully soon.