Agriculture Position in DOJ Subject of Bill

February 8, 2001

Sens. Richard Lugar (R-IN) and Tom Harkin (D-IA), have introduced a bill that requires the attorney general to maintain the Justice Department position that is responsible for overseeing economic concentration in agriculture.

"Farmers face the hard realities of consolidation and economic concentration wherever they turn– when they buy and when they sell," Harkin said. "This position is critical to our efforts to ensure all farmers have a level and competitive playing field so that ever-larger agribusinesses cannot unfairly tip the scales against independent family farmers."

"Agriculture in the United States is currently undergoing dramatic transformation. This transformation can be attributed to rapidly improving technologies, developments in biotechnology, and concentration in production agriculture and agribusiness. These developments create opportunity and questions about concentration and antitrust, but also new challenges in the regulation of unfair and deceptive business practices," Lugar said. "Creating this new position at the Department of Justice is an important step in ensuring effective enforcement of our nation's antitrust laws with regards to this unique sector of our economy."

Last year, Harkin and Lugar secured the appointment of an agriculture special counsel to the DOJ who would specifically look out for the interests of farm families, rural communities and consumers in antitrust matters related to agriculture. DOJ then created a position to assist the assistant attorney feneral of the Antitrust Division in looking out for the interests of farm families, rural communities, and consumers in the face of rapid consolidation and structural change in food and agricultural businesses.

The bill introduced in this session would ensure that this position remains within the DOJ regardless of which administration is in office. The Agriculture Committee held two hearings last year on the impact of agribusiness concentration on producers and consumers. Assistant Attorney General Joel Klein testified on merger and acquisition activities in the agriculture and the need to commit the resources to ensure these activities do not run afoul of antitrust laws.

"Family farmers will not survive if the deck is stacked against them when they buy and when they sell," Harkin said. "This fight is all about fair access to fair markets. It is not about blocking greater efficiency and productivity, because nobody can beat the family farm in that area."