Local expert explains meatpacking industry concerns
Emily Tabar, 27 May 2021
DURANT, Okla. (KXII) – Oklahoma Governor Kevin Stitt released a letter last week about his concerns in the meatpacking industry. A local expert in the beef supply chain explains those concerns and what they hope to see change.
If you’re headed to the grocery store this memorial day weekend, expect to pay more at the meat counter. “We’ve let it go on for too long, and now we’re at the point now, it’s become a huge problem,” said Jeff Hazaleus, owner of Durant Stockyards.
Hazaleus said market manipulation by meatpackers has gone on for a while, but has become more clear this past year.
“Last year during the COVID, they slowed the kill speed 100,000 head per week. You put that in perspective, you’re talking about 100,000, 1,400-pound steers less a week that they killed because they can so that they can shorten up the supply at the grocery store so that you have to give more for the meat when you get there,” said Hazaleus.
He said 60% of the meatpacking industry is run by 3 major U.S. companies.
The value of beef averages between $1.18 and $1.24 per pound, but consumers are paying well over $4.00 a pound at the grocery store. He said packers are manipulating that price and are the only ones profiting.
“The cattle that they’re killing right now are making roughly a little over $700 a head. And they’re owning them for 12 hours. Where we have producers who are raising an animal for a year, and at best they’re breaking even right now,” said Hazaleus.
