A new report looking at agribusiness consolidation found decades of mergers have reduced competition, leading to higher costs for farmers and consumers in Maryland and nationwide.

The report, titled "Kings Over the Necessaries of Life," showed a smaller number of large companies are using their market power to dominate nearly all sectors of the food system from inputs such as seeds and pesticides all the way to grocers.

Basel Musharbash, principal attorney for the Antimonopoly Counsel and the report's author, said the nonenforcement of the nation's antimonopoly laws since the 1980s has taken a toll.

"We found that either a single firm or a small, tightly coordinated group of firms have amassed monopoly power," Musharbash explained. "The power to control prices or exclude competitors from a given market, in nearly every major industry that manufactures and sells farm inputs, that buys or processes farm crops, or that distributes food to the public."

Among other abuses, the report found companies have engineered shortages to keep prices high, as in the egg and fertilizer sectors. Despite rising prices for beef, consolidation has reduced the share of the consumer's dollar going to cattle farmers, which fell from 70% in the 1970s to 30% today.

The fertilizer sector has been gradually consolidated over decades, and the report showed three large firms are now in control. With one dominating the market for each of the three primary components of fertilizer: nitrogen, phosphate and potassium. The so-called Big Three are able to control prices in their respective markets but are also keeping competition out by controlling access to both the raw materials supply and the specialized distributors that sell fertilizer around the country.

The report found since the 1990s, the Big Three have raised fertilizer prices, cut output and reduced the quality and selection of fertilizer available in the U.S. Fertilizer prices increased 60% in 2021 and 132% the next year. Companies attributed the increases to supply-chain problems, but Musharbash found their own financial reports proved otherwise. He argued it amounts to extraction from farmers and ultimately, consumers.

"Because of their power, they've been able to reap Apple-style profits on products that haven't been improved materially since the 1960s," Musharbash asserted. "It's that sort of extraction that has been facilitated by the monopolization that we've seen across the agriculture sector."

The report includes an Agriculture Consolidation Data Hub where different sectors are outlined. Consolidation and its effects are tracked in agricultural finance, crop insurance, farm machinery, the grain and oilseed sector, along with fruits, vegetables, livestock, poultry, seed and fertilizer. The seed industry is now dominated by four large firms and has seen prices rise faster over the past 20 years than any other farm input.

Musharbash argued the nation needs to continue to expand recent efforts to enforce antitrust laws.

"It doesn't have to be this way," Musharbash contended. "These firms are smart and powerful. They've executed strategies over decades, the U.S. government allowed it because we made policy decisions not to enforce the antitrust laws to the fullest extent. We can take action to fix that."

He added after a period of neglect, the agriculture sector was also highly concentrated by the 1930s. But the report outlined how over a decade the Antitrust Division of the Justice Department and the Federal Trade Commission brought thousands of cases against cartel actors in the agricultural economy, eventually restoring competitive markets.


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Rural communities across Massachusetts are benefiting from state grants aimed at strengthening the local food supply and building climate resilience.

State officials have awarded nearly $4 million to help farmers improve soil health, upgrade irrigation systems and prepare for extreme weather events, including the current critical drought conditions.

Ashley Randle, commissioner of the Massachusetts Department of Agricultural Resources, said farms are helping the state meet its ambitious climate goals.

"They're a mitigation and resilience strategy so that farms can be best positioned to withstand the changing weather conditions that they are facing," Randle explained.

Randle pointed out grants will help farms improve efficiency and environmental controls and reduce greenhouse gases. Massachusetts has set a goal of reaching net-zero emissions by 2050.

From cranberries to oysters, the majority of farms in Massachusetts are smaller, family-owned operations. Randle noted grants will help farmers purchase high tunnels and other equipment needed to extend their production season. She emphasized it helps secure jobs and provides income to local economies during the winter months.

"All of these grants are really helping to ensure that we have a stable food supply," Randle stressed. "And to continue to grow and adapt should there be climate change impacts like we saw last year that devastated the sector."

Last year, a deep freeze in February spoiled the peach crop while a late frost in May damaged most tree fruits. Significant flooding last summer severely damaged 13,000 acres, resulting in more than $65 million in losses. Randle added farms often face unpredictable factors but grant programs can help them adapt and thrive in the face of uncertainty.


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A Missouri-based farm group is fighting to keep the proposed "FARM Act" from becoming law, warning it would benefit large corporate farms at the expense of smaller ones.

The Farm Action Fund, a nonpartisan advocacy group, contended the proposed legislation in Congress, which is an extension of the five-year Farm Bill, would funnel more money to big corporate farms, giving them an unfair advantage and making it harder for small and mid-sized farms to survive.

Joe Maxwell, president of the Farm Action Fund, believes the legislation is making history but not in a good way.

"As far as I know, and I've been doing this for about 40 years, it's the first time there's been policy that would discriminate among the commodity crop growers in the United States, saying that the largest ones get more money," Maxwell explained. "Oftentimes, they're the ones that need the least money."

The National Farm Coalition reported 20% of farms control nearly 70% of U.S. farmland, which it said shows significant consolidation. If passed, The FARM Act would allocate around $21 billion in aid.

Nearly 90% of Missouri farms are smaller, family-owned operations. According to the U.S. Department of Agriculture, small farms are the backbone of U.S. agriculture. They make up 88% of all farms, controlling nearly half of the nation's farmland. Maxwell pointed out his organization is urging them to take a stand on the FARM Act, because the competition is formidable.

"I think it's the power of the dollar expressing itself in the halls of our United States Capitol," Maxwell contended. "The largest farmers have brought in the lobbyists and the trade organizations, to give them an upper hand."

Rep. Mark Alford, R-Mo., and Rep. Sam Graves, R-Mo., are cosponsors of the FARM Act.


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As President-elect Donald Trump is sworn in next month, the farming community wonders if he'll follow through on tariff threats. One expert says for top soybean states such as North Dakota, farmers aren't in a great position to withstand any fallout.

The latest U.S. Department of Agriculture farm income forecast paints a gloomy picture, with declines in commodity prices dragging things down. And the incoming administration appears poised to enact more tariffs - as it did during Trump's first term.

Ben Palen, who runs the consulting firm Ag Management Partners, said this time around, there's increased political instability on the global front and greater export competition.

"I just don't think that you can have a coherent and consistent policy for agriculture if you go from one crisis to another," he said.

Trump regained strong support from agricultural counties in this election, but Palen said his fellow producers need to be prepared for what happens now that the votes have been counted. In Trump's first term, emergency aid was sent to farmers affected by the initial trade war. But Palen noted there's a strong push for the new administration to pursue budget cuts, so financial relief could be harder to come by.

Even though many farmers still back Trump, Palen said he feels this sector doesn't want to get swept up in trade rhetoric and have to be bailed out.

"I think farmers are very good at production," he said. "It's just part of our DNA; we want to produce, produce, produce."

He argued that it's up to policymakers to find new markets for farmers to sell their crops, as opposed to simply focusing on trade disputes.

Other voices, such as the Texas agriculture commissioner, have welcomed the idea of new tariffs, saying the U.S. needs to hold firm against countries such as China.

In the first trade war, U.S. agricultural export losses exceeded $27 billion.


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