The Meat Racket: The Secret Takeover of America's Food Business

by Christopher Leonard

  “Intensified Management Status” of, 126, 130, 131

  Laotian immigrants as, 45–46, 113, 114–15, 118–20, 123, 124–25, 127–31, 132–37, 138–39, 141, 142–43

  “ledger” contracts of, 239

  legislative attempts at creating protections for, 244, 245, 250–52, 255, 256, 263, 280, 283, 284, 287–89, 291–94, 295, 299–301, 302

  as modern-day “sharecroppers”/“serfs,” 3, 68, 114–15, 231, 237, 283, 289

  month-to-month contracts offered to, 193–94, 198, 232

  in pork industry, 152, 156, 157–58, 159, 162, 168, 184, 188, 190, 191, 192–94, 196, 198, 200, 201, 202, 203, 204–5, 209, 227, 232, 236, 237–40, 241, 244, 246, 253, 287, 311, 316

  in poultry industry, see chicken farming, industrial

  Tabor-Moline’s investigation into, 236–40

  Tabor’s speech on tougher protective regulation for, 244–46, 247

  targeted retaliation by companies against, 4, 36, 37–38, 43, 239, 244, 250, 269

  terms and conditions for, 24–25, 30, 192, 193, 239

  tournament system of pay for, 24, 33, 105–6, 114–17, 119, 120–22, 124–25, 126, 127, 130–32, 137, 139, 145, 192, 226, 239, 256, 257, 273, 284, 292, 293–94, 299–300, 301

  Tyson as canceling agreements with, 126, 138, 140, 143, 193–94, 237

  Tyson’s close monitoring of efficiency and profitability of, 20, 24, 33, 34, 115, 126, 130, 131

  Tyson’s culture of placing blame on, 103–4, 126, 130

  Tyson’s informational isolation of, 116, 117, 256

  Tyson’s tight control over, 5, 21, 23–25, 30, 38, 62, 83–84, 85, 103, 114–15, 117, 120, 131, 134, 138–39, 156, 157, 159, 173, 184, 192–93, 209, 224, 232, 237, 284, 310, 312

  see also specific types of industrial farming

  corn, 54, 116, 165, 166, 172, 173, 186, 187, 229, 243

  subsidies for, 264–65

  “Cornish game hens,” 86–87

  Costco, 288

  cotton, 54, 55, 57, 58

  cowboys, 5, 170, 207–8, 210, 211, 215, 221

  CR4, 233

  Crouch, Courtney, 83

  Daschle, Tom, 250, 251, 252

  DeJong, Justin, 349n

  Democratic Party, 165, 245, 250, 252, 258, 261, 263, 282, 289, 290, 301

  as patrons of industrial meat and agriculture, 262, 268, 310

  Depression, Great, 4, 12, 46, 47–49, 50–51, 57, 58, 75, 89, 196, 268, 277, 282, 297, 310, 311

  Des Moines, Iowa, 233–34, 238, 241, 279

  Dodge City, Kans., 210, 211–12, 214, 217, 220n, 303

  “dollar auctions,” 57

  Dopp, Mark, 285–86, 288–89

  Dow Jones Industrial Average, 276

  Dust Bowl, 50

  Earp, Wyatt, 211, 212

  Edwards, Perry (pseudonym), 32–33, 34–38

  Edwin (farmer), 9, 44, 113, 114, 123, 127

  elections, U.S.:

  of 1992, 310

  of 2000, 245

  of 2008, 12, 257–58, 261–64, 268, 281, 294

  of 2012, 297, 303

  Elmore, Doug, 43–44, 116, 136

  Emmetsburg, Iowa, 186, 187, 189, 303

  Erwin, Harry, 64, 71–72

  Espy, Mike, 268–69

  ethanol subsidies, 264–65

  family farms, 47, 50, 64, 69, 152, 184–86, 187, 195–96, 231, 262, 303

  “cash-basis” accounting of, 72–73, 74–75

  disappearance of, 5, 49, 50, 70, 184, 191, 194, 196–97, 202, 205, 231, 232, 236, 238, 246, 281, 298

  government subsidies for, 67

  see also hog farming, independent

  Farm and Home Plan, 142

  Farm Credit Administration, 67–68

  Farmers Home Administration (FMHA), 140

  farmers’ markets, 288, 298

  farming and agriculture, 4, 10, 116, 184, 186–87, 223–24, 297–98

  activist groups in, 257, 262, 279, 283, 294, 317–18

  cash crops in, 54, 55, 57, 58, 64, 165, 166, 186, 229, 264–65, 308

  federal loan programs and subsidies in, 67–68, 139–45, 164–66, 173, 234–35, 264–65, 268

  feudal system in, 49, 139, 231

  Great Depression’s impact on, 47, 49, 50, 57, 58

  Green Revolution in, 52

  Iowa’s economic dependency on, 234, 235

  Jefferson’s advocacy of, 49, 50

  as keystone of democratic society, 49, 50, 231

  “localvore” movement in, 288, 318

  migrant, 25, 50–51

  1980s crisis and recession in, 235

  Obama’s campaign in rallying support from workers in, 261–64

  opposition to GIPSA rule in, 291–93, 296, 297

  in Ozark hill country, 48, 55, 58

  of poultry, see chicken farming, industrial

  pre-industrial government intervention in, 4, 57–58, 67–68, 164–65, 234–35, 248–49

  as social economic building block, 49–50, 67, 69, 165, 231, 235

  tenant, 55–56

  Vilsack’s optimistic depiction of, 3, 297–98

  see also agriculture, industrial

  Farm Service Agency (FSA), 139–45

  farrowing crates, 154–55, 237

  fast-food industry, 91, 92, 98, 101, 108, 109, 152, 159, 169, 225, 242, 267, 275, 288, 306, 311

  specialty items in, 30–31, 95, 107

  Tyson’s role in introducing chicken into, 91–92, 93–95, 107

  Fayetteville, Ark., 65, 82, 307, 314

  Federal Trade Commission (FTC), 254, 277

  feed, animal, 6, 24, 36, 70, 103, 115, 120, 134, 172, 318

  high costs of, 53, 166, 187, 264–65, 273

  hogs fed with, 149, 151

  feeder barns, 155, 183, 190, 192, 237

  see also hog barns

  feedlots, cattle, 7, 116, 145–46, 152, 207–8, 209, 214, 246, 314

  BMG cooperative of, 222, 223

  cattle buyers and, 214–16, 217–21

  as contract producers, 152–53, 172, 173, 209, 211, 212n, 218, 219, 220, 221–23, 224, 225, 226, 227, 247, 269, 284

  corporate control over, 5, 7, 173, 209, 212, 213, 218, 224, 227, 266, 284

  depression of prices paid to, 209, 213, 222, 248, 269, 294

  disappearance of small, 5, 209, 212, 223

  grid system of payment for, 222, 225, 226

  growth hormones used in, 7, 209, 224–26, 227

  independent, 188, 209–11, 213, 216–21, 222–23, 224, 225–26, 284

  in pre-industrialized era, 213

  see also beef industry; cattle ranching

  feed mills, 2, 5, 8, 21, 24, 30, 33, 53, 81, 83, 103, 134, 273, 316

  John Tyson’s business in, 53–54, 55, 56

  recipes in, 33, 53, 105

  standardizing of formulas at, 105

  of Tyson Feed and Hatchery, 58, 59, 61, 72

  feed stores, 189–90, 201

  FEMA, 41, 42

  Ferrell, John, 282–83, 287, 289, 295, 296, 303

  fertilizers, nitrogen, 69

  feudal system, 49, 139, 231

  field technicians, 9, 17, 24, 28–32, 34, 71, 102–3, 118, 137–38, 151, 238, 240

  alleged favoritism from, 120

  “blame the farmer” strategy of, 19, 44, 103–4, 126

  diseased bird epidemics and, 18–20, 28–29, 32, 39–40, 44

  Don Tyson as, 59, 69

  in Tyson hog division, 192–93

  First National Bank, 317

  Food and Family Farm Presidential Summit, 262, 263, 294

  Food and Water Watch, 318

  “food dictatorship” issue, 234–35

  Forest Service, U.S., 102

  formula contracts, 173, 240

  Fort Smith, Ark., 11, 40, 44, 48, 132, 136, 141

  forward contracts, 203

  Foster Farms, 274

  4H clubs, 203

  Freedom to Farm Act (1996), 165–66

  free-trade agreements, 298

  fruit orchards, 25, 41, 48, 50, 51
–52, 55

  futures contracts, 199, 201

  futures exchanges, 116, 213

  “game hens,” 86–87

  Garden City, Kans., 172, 173, 212

  Garrett, Charles, 81

  Garrett Poultry, 76, 79, 81–82, 86, 110

  General Accounting Office, 283

  General Electric Co., 268

  genetic manipulation, 109–10, 235

  George’s Poultry, 97

  GIPSA rule, 284–87, 288–94, 295–98, 299–303, 318

  agriculture subcommittee hearing on, 289–91

  “competitive injury” provision in, 284, 300–301

  congressional opposition to, 290, 291, 296, 297, 300–302

  defeating of, 301–2, 303

  divisiveness in USDA on, 295–97

  farmers’ in opposition to, 291–93, 296, 297

  lobbyists’ response to, 285–87, 288–89, 291–92, 295, 302

  revision and finalization of, 297, 298–301, 302

  Tyson’s public response to, 293–94

  Glickman, Dan, 245

  Gore, Al, 245

  government regulation, government regulators, 153, 165, 175–76, 235–36, 253, 254–55, 257–58, 276, 277–78, 287

  Agricultural Adjustment Act in, 57–58

  antitrust laws in, 12, 99, 145, 220, 248–49, 251, 254, 271, 277, 283, 284, 299, 301, 302

  Baker’s opposition to, 247–48

  in campaigns against vertical integration, 229, 233, 236, 241–44, 245, 253, 269, 280, 285, 287

  failed attempts at legislative reforms in, 250–52, 263, 287–89, 291–94, 299–300, 301, 302, 318

  Farm Credit Administration and, 67–68

  farming subsidies and, 67–68, 139–45, 164–66, 173, 234–35, 264–65, 268

  Freedom to Farm Act and, 165–66

  ineffectiveness of, 4, 85, 229, 230, 254–55, 268, 269, 275–76, 278, 280, 283–84

  interest groups calling for tougher reforms in, 257, 317–18

  Iowa’s “packer ban” in, 240–41, 242, 243, 253, 255

  lobbyist-led opposition to, 251–52, 254, 263, 285–87, 288–89, 291–92, 295

  Miller’s lawsuit against Smithfield Foods and, 236, 241–44, 245, 253–54, 255, 280

  Miller-Smithfield settlement and, 255–57, 270, 280, 299

  Obama administration’s attempts in reforming of, 4, 12, 281, 282, 283–287, 288, 289, 290, 295, 298, 299, 301, 303, 318; see also GIPSA rule

  Obama’s campaign promises of, 263–64, 281, 285

  Packers and Stockyard Act in, 84–85, 248, 283–84, 285, 291, 301

  Packers and Stockyard Administration in, 248–49, 254, 275–76, 282–83

  Producer Protection Act in, 244, 245, 250, 252

  production controls in, 165, 166, 234–35

  safety provisions in, 252

  slaughterhouse inspections and, 61, 87

  state-to-state disparities in, 257

  Tabor-Moline’s investigation into contract farming and, 236–40

  Tabor’s speech for increasing of, 244–46, 247

  2008 farm bill and, 283, 284, 285

  2012 farm bill and, 289, 290–91

  Tyson as benefiting from, 58, 145, 166

  Tyson’s evasion of, 66, 85

  USDA/DOJ workshops in promoting of, 12, 279–82, 287, 288, 289, 294–95, 298, 302–3

  see also Agriculture Department, U.S.

  Grain Inspection, Packers and Stockyards Administration (GIPSA), 245, 246, 248, 254–55, 269, 282, 287, 296, 298, 300

  new rule of, see GIPSA rule

  grain trade, U.S., 235, 313

  Grassley, Chuck, 279

  Great Depression, 4, 12, 46, 47–49, 50–51, 57, 58, 75, 89, 196, 246, 268, 277, 282, 297, 310, 311

  Great Recession (2008), 7, 11, 264–65, 266, 267–68, 276–77, 311–13

  Green Forest, Ark., 106–8, 120

  Green Revolution, 52

  grocery stores, 54, 60, 62, 65–66, 73, 76, 110, 158, 159, 169, 170, 195, 196, 212, 213, 265, 288, 311

  rising prices in, 5, 79, 204, 269, 294, 318

  growth hormones, 7, 209, 224–26, 227

  Harden, Krysta, 296, 349n

  Harkin, Tom, 252, 263, 283

  hatcheries, 5, 21, 56, 58, 59, 61, 62, 72, 78, 79–80, 81, 87, 108, 153, 270, 273

  diseased birds in, 19, 36–37, 44, 103, 134

  labor disputes in, 83

  health care reform, 290

  hedging contracts, 199, 201

  Heffernan, Bill, 230–33, 257

  Henson, Geraldine, 37

  Her, Lue, 142

  Hinton, Va., 272–73

  Hispanic workers, 46, 120, 212

  Hogan & Hartson, 277

  hog barns, 151, 154–55, 192–93, 195, 196, 197, 198, 204–5, 237

  equipment in, 155, 183, 200

  high-costs of, 183, 188, 195, 196, 200, 239

  as modeled on chicken houses, 150, 154, 155, 183, 192

  hog farming, independent, 145–46, 152, 158, 181, 194–95, 196, 199, 201–2, 203, 236–37, 238

  Chuck Wirtz’s business in, 184–87, 189–90, 194, 195, 199, 201, 203

  decline of, 5, 191, 194, 196–97, 202, 205, 236, 238, 246

  depression of prices paid to, 191, 203–4

  futures contracts in, 199, 201

  in pre-industrialization era, 57, 145–46, 150, 151, 152, 184–87, 195–96, 200–201, 202–3

  profits of, 185, 186, 187, 190, 194–95, 196, 202

  raising of pigs in, 185

  sales stations in, 200–201, 202, 238

  Tyson’s contract proposals for, 187–89

  see also pork industry

  hog farming, industrial, 156, 168, 181, 183, 238–40, 285, 293, 295

  bankruptcies in, 200, 239

  contract farmers in, 152, 156, 157–58, 159, 162, 168, 184, 188, 190, 191, 192–94, 196, 198, 200, 201, 202, 203, 204–5, 209, 227, 232, 236, 237–40, 241, 244, 246, 253, 287, 311, 316

  debts and financial struggles in, 184, 192, 193–94, 196, 199–200, 239

  depression of wages in, 5, 168, 192, 204, 294

  farrowing crates in, 154–55

  feeder barns in, 155, 183, 190, 192, 237; see also hog barns

  Freedom to Farm Act and, 166

  immigrant workers in, 197

  “ledger” contracts in, 239

  as modeled on poultry farming system, 5, 149, 150, 151, 152–53, 154–55, 168, 183, 192

  pig waste issues in, 151, 154

  raising of pigs in, 150, 151, 152, 153–55, 157, 192

  rise of, 5, 149, 152–53, 156–58, 167–68, 169, 173–74, 183–84, 189, 191, 195, 196, 197, 198, 204, 246, 287

  Smithfield settlement and, 256, 280, 299

  sow farms in, 156–57, 192

  threat of disease in, 151, 157, 192, 239

  tournament system of pay in, 192, 239, 257, 293

  Tyson’s ambitions for expanding into, 152–53, 155

  Tyson’s tight control over, 156, 157, 159, 184, 192–93, 204, 266

  see also pork industry; Tyson Foods, hog division of

  Holdenville, Okla., 155–56, 187, 188, 189, 192, 197, 200

  Tyson complex in, 156–57, 168, 193, 227

  Holder, Eric, 12, 279, 280, 294, 298

  Hoover, Herbert, 92, 234

  horizontal integration, 231

  Hormel, 203, 241, 257

  House of Representatives, U.S., 268, 290, 301

  Judiciary Committee of, 252

  Subcommittee on Agriculture in, 289, 290–91

  Hyplains, 214

  immigrants, 46, 197, 212, 317

  see also Laotian immigrants

  India, 305, 306

  Individual Freedom and the Economic Organization of Agriculture (Breimyer), 230–31

  Internal Revenue Service (IRS), 71, 72, 73

  ionophores (antibiotic drugs), 7

  Iowa, 57, 170, 183, 184, 185, 189, 195, 200, 227, 229, 232, 233, 243, 247, 266, 280, 293, 303, 314, 316

  decline of smal
l towns in, 198

  as epicenter of pork production, 186–87, 250

  farming’s central economic role in, 234, 235

  food politics in, 234, 235

  hog sales stations in, 200–201

  Obama’s presidential campaigning in, 12, 258, 261–64, 294

  “packer ban” in, 240–41, 242, 243, 253, 255

  Producer Protection Act in, 244, 245, 250, 252, 255, 263, 283

  Smithfield settlement reforms in, 255–57, 270, 280, 299

  Iowa Beef Processors (IBP), 169–72, 173–74, 177, 180, 195, 212n, 222, 240, 251, 264

  “boxed beef” innovation of, 170–71, 172

  “formula contract” employed at, 173

  labor disputes with, 170

  mergers and acquisitions of, 171, 173–74, 248

  Tyson’s acquisition of, 174–76, 177

  Iowa Farmers Union, 262

  Jackson, Haskell, 63–65, 68, 71–72, 76, 77, 78–79, 80, 86, 87, 88, 95, 96–97

  tax loopholes exploited by, 72–73

  in weekly managers’ meetings, 74, 75–76, 77, 92–93

  JBS Swift, 203, 208, 209, 217, 219, 225, 286, 303

  see also Swift & Company

  Jefferson, Thomas, 49, 50, 67, 145, 231

  Jeffords, James, 252

  Johnson, Cynthia, 37

  Johnston, Gerald, 95–96, 97–98, 102, 161

  Jones, Harvey, 88

  Justice Department, U.S., 254, 255, 275, 276, 277, 280, 302

  USDA’s joint public workshops with, 12, 279–82, 287, 288, 289, 294–95, 298, 302–3

  Kansas, 207, 208, 223, 226, 266, 316

  Kansas Practical Average Price, 221

  Kansas State University, 47, 221, 314

  Kentucky Fried Chicken, 31

  King, Donnie, 270

  Klein, Tim, 215, 216, 220

  Kraft Foods, 176, 178, 179

  Lane, Clift, 99, 100–101

  Lane Poultry, 102

  Laos, 123, 124, 136, 138

  Laotian immigrants, 45–46, 113, 114–15, 118–20, 123–25, 127–28, 131, 132, 135, 136, 137, 138–39

  federal loans extended to, 139, 141, 142–43

  racial stereotypes of, 120

  social isolation of, 119–20

  see also N&N Farm

  Latin America, 119–20, 212

  Lee, Don, 143

  Lee, Tou, 142

  Legend of IBP, The (Rodengen), 170n

  Lick Skillet farm, 125, 126, 127

  Lilygren, Sara, 251

  Lobb, Richard, 292

  lobbyists, 12, 153, 210, 223, 249–52, 263, 275–76, 279, 280, 283, 291, 318

  anti-regulation campaigns of, 251–52, 254, 263, 291–92, 295

  on behalf of small farmers, 317–18

  GIPSA rule and response of, 285–87, 288–89, 291–92, 295, 302

  at Tyson Foods, 251n, 279, 286, 292, 295