The US Cattlemen’s Association (USCA) has asked Treasury
Secretary Steven Mnuchin to investigate Marfrig Global Foods’ near acquisition
of National Beef Packing Company.
USCA president Kenny Graner says the growing trend of
foreign companies acquiring US ag resources jeopardizes the ability for the US to
feed itself and it is a direct threat to democracy. “Once this country continues to sell out its
processing facilities to foreign companies, we don’t know what their long-range
plan is,” he says. “You don’t know if
they’re slowly going to buy facilities and then slowly shut them down and then
you have this loss of US jobs.”
He says it would also have a direct impact on the US cattle
industry. “As you continue to
consolidate, you start losing that ability of competitive markets to sell your cattle
into,” he says. The Brazilian-owned company announced last week that it has
raised its stake in the US company from 51% to nearly 82%.
He says the organization wants Secretary Mnuchin and the
Committee on Foreign Investment in the United States to provide a full review
of Marfrig Global Foods’ acquisition of US companies and for the outcomes to be
written out and publicly published. “This
country should not be allowing foreign companies to come in and buy up some of
its large industries,” he says. “And
that is a big concern because President Trump pushed on putting America first. So let’s put ranchers – American ranchers
first.”
The USCA opposes increasing consolidation of the
meat-packing sector and foreign ownership of US ag interests. In 2018, Marfrig acquires a majority stake in
National Beef Packing Company, but the latest announcement means the US-based company
will be almost fully owned by Brazilian interests.
