Legislation Creates Ag Competition Task Force

Sens. Chuck Grassley (R-IA), and Herb Kohl (D-MN), have introduced legislation that they say will ensure a level playing field for all market participants in the ag industry, including the independent producer and family farmer, Farm Progress reports.

The Agriculture Competition Enhancement Act of 2009 creates an Agriculture Competition Task Force to assist the Department of Justice and the Federal Trade Commission in drafting agriculture antitrust guidelines, examine problems in agriculture competition, and coordinate activities to address anti-competitive practices. The legislation also amends antitrust laws to shift the burden of proof in agribusiness mergers to the defendant to prove that the merger will not substantially lessen competition or create a monopoly.

“The lack of enforcement and a propensity by the Department of Justice to approve agriculture mega-mergers leads us to believe that we need to beef up our laws to address vertical integration, concentration and predatory business practices,” Grassley said.