How does Biden administration treat food price inflation?

 

How does Biden administration treat food price inflation?

Soaring food prices overshadow the Biden administration, raising consumer concerns about inflation and prompting the president to target the meatpacking industry.

American families are concerned about food prices, which rose 6.1% from Nov 2020 to Nov 2021.

Biden's administration disapproval rating reached a new high in a CNBC/Change Research poll released Tuesday, with 72% disapproving of his handling of the price of daily items.

Biden accused the meat industry of "exploitation" and detailed plans to allocate $1 billion to independent meat manufacturers to boost competition.

The four largest meat processing companies in beef, swine, and poultry control 85%, 70%, and 54% of their markets, respectively.

In the latest CPI report, meat, poultry, fish, and eggs prices rose 12.8%.

In a statement, Julie Anna Potts, president and CEO Institute, said that the Biden administration's action reflects an "onerous approach" that "continues to ignore the number one challenge to meat and poultry production: labor shortages."

Analysts say many factors - including slowing shipping, supply chain problems, and increased demand - lead to increased prices.

Last year, the Justice Department accused the broiler industry of "price fixing, bid rigging and other anticompetitive behavior" as part of an ongoing investigation.

"I can see why management would want to scrutinize," the industry, Arun Sundaram, a price-fixing analyst at CFRA Research, told Axios. But "the fallacy is attributing the rise in meat prices to a single factor."

U's food prices are expected to remain high in the first half of 2022, leading to further consumer frustration.