In a significant move, the Department of Justice (DOJ) has initiated a civil antitrust lawsuit against Agri Stats for violations of the Sherman Act. The lawsuit alleges that Agri Stats orchestrated “anticompetitive information exchanges” among broiler chicken, pork, and turkey processors, engaging in the collection, integration, and distribution of “competitively sensitive information” related to pricing, costs, and output.
Filed in the District of Minnesota, the complaint asserts that Agri Stats provided processors with exclusive weekly and monthly market reports for years, withholding crucial insights from purchasers, workers, and consumers. Notably, the DOJ claims that Agri Stats continues to supply these reports to chicken processors, while discontinuing them for turkey and pork processors following recent legal actions against the latter.
The complaint further alleges that Agri Stats was aware that meat processors utilized these reports for anticompetitive purposes, going so far as to encourage processors to raise prices and reduce supply.
Assistant Attorney General Jonathan Kanter from the Justice Department’s Antitrust Division underscores the significance of this case, framing it as the DOJ’s latest effort to safeguard American consumers, farmers, and workers from anticompetitive practices within the agriculture industry. This legal action reflects a commitment to maintaining fair competition and protecting the interests of those affected by such practices.