USA: Evolution of meat processing companies

The meat processing industry has transformed over the decades as packers built large factories to achieve economies of scale. Processors have also forged closer ties with a reorganized livestock sector to ensure a reliable supply of animals to keep factories at near full capacity. These transformations have led to a sharp increase in concentration, particularly in the slow-growing pork and beef sectors, while simultaneously reducing production and slaughter costs. However, while there have been some significant mergers between processors, much of the increase in concentration has been due to the construction of new facilities or the expansion of existing facilities by large processors rather than mergers between competing companies. . In 2019, 67% of the country's pigs were processed by the four largest companies. In 1980, the percentage was half that, 34%. Factories handling at least 1 million pigs accounted for 38% of pig slaughter in 1977, but 88% in 1997. Until the ...