AUSTIN, Texas — The office of the Ken Paxton has opened an investigation into major U.S. meatpacking companies, alleging potential anticompetitive practices that may have contributed to higher grocery prices for beef while lowering payouts to cattle producers.
The probe targets four dominant firms in the industry — JBS S.A., Tyson Fresh Meats Inc., Cargill Inc., and National Beef Packing Company — which Paxton said collectively control more than 85% of the U.S. beef processing market.
Paxton’s office said preliminary concerns suggest the companies may have used their market dominance to suppress prices paid to ranchers while simultaneously contributing to higher retail beef prices, increasing profits at the expense of both producers and consumers.
The investigation will be conducted in coordination with the U.S. Department of Justice, which is also reviewing competition issues in the cattle and beef markets as part of a broader antitrust inquiry.
Paxton said Texans “deserve fairly priced beef” and that ranchers should receive fair compensation for their work, adding that his office will pursue any violations of antitrust law if evidence confirms market manipulation or coordinated pricing practices.
The companies named in the probe have not publicly responded to the announcement at the time of publication.
