Title: The Rancher’s Dilemma: Trump Administration Focuses on Thin Margins in Texas Cattle Country In recent years, ranchers across Texas have been grappling with thin margins of profitability as they struggle to keep their businesses afloat amidst rising costs and stagnant prices for beef. The situation has reached a boiling point, prompting the Trump administration to call for an investigation into meatpacking companies over increasing beef prices. The focus on these razor-thin margins is not new; ranchers have been dealing with them for decades now. However, it seems that the issue has finally caught the attention of those in power who are now taking steps towards addressing this longstanding problem. The “big four” meatpacking companies – Tyson, JBS, Cargill and National Beef – dominate the U.S. beef supply chain, controlling pricing power from pasture to plate. Together, they process about 85% of grain-fattened cattle that become our everyday steaks, roasts, and other supermarket cuts. This concentration of market share has led to concerns over fair competition and transparency in the industry. Ranchers argue that these large corporations wield too much power when it comes to setting prices for their products, leaving them with little room for negotiation or profitability. As a result, many small-scale ranching operations are struggling to stay afloat amidst rising costs of production and stagnant beef prices at the retail level. The potential implications of this situation cannot be overstated. If left unchecked, it could lead to further consolidation within the industry as smaller players are forced out due to lack of profitability. This would result in even less competition among meatpackers, potentially leading to higher prices for consumers and an overall decline in quality across the board. From a historical perspective, this issue highlights the challenges faced by family-owned businesses when dealing with large corporations that hold significant market power. It also serves as a reminder of the importance of maintaining fair trade practices and ensuring transparency throughout the supply chain. In conclusion, while it remains to be seen what impact the Trump administration’s call for an investigation will have on this issue, one thing is certain: addressing the thin margins faced by ranchers in Texas cattle country should be a priority for policymakers and industry leaders alike. Only through concerted efforts towards promoting fair competition and supporting small-scale producers can we hope to ensure the sustainability of our nation’s beef industry while also providing consumers with access to high-quality, affordable products.
Source: [Original Article](https://www.foxnews.com/politics/texas-cattle-country-one-rancher-welcomes-trumps-focus-decades-thin-margins)
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