[FIG-ALL] fyi... anti-trust and agriculture

[Lisa Gruver]

  FOR IMMEDIATE RELEASE


WEDNESDAY, AUGUST 5, 2009

WWW.USDOJ.GOV
AG

(202)  514-2007

TDD (202) 514-1888

     
       

        

        JUSTICE DEPARTMENT AND USDA TO HOLD PUBLIC 
          WORKSHOPS

          TO EXPLORE COMPETITION ISSUES IN THE AGRICULTURE INDUSTRY 
        Workshops Will Promote Open Dialogue on 
          Legal and Economic Issues

         in the Agriculture Industry
         WASHINGTON — Attorney General Eric Holder and Agriculture Secretary 
          Tom Vilsack announced today that the Department of Justice and the U.S. 
          Department of Agriculture (USDA) will hold joint public workshops to 
          explore competition issues affecting the agriculture industry in the 
          21st century and the appropriate role for antitrust and regulatory 
          enforcement in that industry. These are the first joint Department of 
          Justice/USDA workshops ever to be held to discuss competition and regulatory 
          issues in the agriculture industry. 
        
 The joint Department of Justice/USDA workshops will address the dynamics 
          of competition in agriculture markets including, among other issues, 
          buyer power (also known as monopsony) and vertical integration. They 
          will examine legal doctrines and jurisprudence and current economic 
          learning, and will provide an opportunity for farmers, ranchers, consumer 
          groups, processors, the agribusinesses, and other interested parties 
          to provide examples of potentially anticompetitive conduct. The workshops 
          will also provide an opportunity for discussion for any concerns about 
          the application of the antitrust laws to the agricultural industry. 
        
 The goals of the workshops are to promote dialogue among interested 
          parties and foster learning with respect to the appropriate legal and 
          economic analyses of these issues, as well as to listen to and learn 
          from parties with real-world experience in the agriculture sector. 
        
 "Maintaining a robust agricultural sector is crucial to the strength 
          of the American economy and to who we are as a nation," said Attorney 
          General Holder. "Through the dialogue established in these workshops 
          and, ultimately through our actions, we are committed to ensuring that 
          competition and regulatory actions benefit all American consumers and 
          businesses." 
        
 "It is important to have a fair and competitive marketplace that benefits 
          agriculture, rural economies and American consumers," said Agriculture 
          Secretary Vilsack. "The joint workshops between the Department of Justice 
          and USDA will allow a dialogue on very important issues facing agriculture 
          today." 
        
 The first workshop will be held in early 2010. While some of the workshops 
          may be held in Washington, D.C., others will be held regionally. The 
          Department of Justice and USDA are soliciting public comments from lawyers, 
          economists, agribusinesses, consumer groups, academics, agricultural 
          producers, agricultural cooperatives, and other interested parties. 
        
 "For the first time ever, farmers, ranchers, consumers groups, agribusinesses 
          and the federal government will openly discuss legal and economic issues 
          associated with competition in the agriculture industry,"said Christine 
          A. Varney, Assistant Attorney General in charge of the Department of 
          Justice's Antitrust Division. 'This is an important step forward in 
          determining the best course of action to address the unique competition 
          issues in agriculture." 
        
 The Department of Justice and USDA are interested in receiving comments 
          on the application of antitrust laws to monopsony and vertical integration 
          in the agricultural sector, including the scope, functionality and limits 
          of current or potential rules. 
        
 The Department and USDA are also inviting input on additional topics 
          that might be discussed at the workshops, including the impact of agriculture 
          concentration on food costs, the effect of agricultural regulatory statutes 
          or other applicable laws and programs on competition, issues relating 
          to patent and intellectual property affecting agricultural marketing 
          or production, and market practices such as price spreads, forward contracts, 
          packer ownership of livestock before slaughter, market transparency, 
          and increasing retailer concentration. 
        
 The public and press are invited to attend the hearings. Additional 
          information about the date, time and location of the workshops will 
          be provided at a later date. Interested parties should submit written 
          comments in both paper and electronic form to the Department of Justice 
          no later than Dec. 31, 2009. All comments received will be publicly 
          posted. Two paper copies should be addressed to the Legal Policy Section, 
          Antitrust Division, U.S. Department of Justice, 450 5th Street, 
          N.W., Suite 11700, Washington, D.C. 20001. The Department's Antitrust 
          Division is requesting that the paper copies of each comment be sent 
          by courier or overnight service, if possible. The electronic version 
          of each comment should be submitted to agriculturalworkshops at usdoj.gov. 
          Detailed agendas and schedules for the workshops will be made available 
          on the Antitrust Division's web site at www.usdoj.gov/atr. 
        

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