US meat processors have tripled their margins during the coronavirus pandemic

The four largest meat processing companies operating in the US market are literally harvesting during a coronavirus pandemic. The White House’s economic advisers have found that these companies have tripled their profit margins compared to the pre-pandemic situation.

These are companies that control 55 to 85 percent of the beef, poultry and pork processing market. According to the National Economic Council (White House Economic Advisory Board), after examining the financial statements, the four processors found that the increase in the price of meat did not correspond to the reasons given by the companies.

It turned out that prices did not rise due to the declared increase in labor costs or meat transport. White House economic advisers found that the main reason was a threefold increase in margins. Gross profits of meat processors increased by 120 and net profits even by 500 percent.

However, the North American Meat Institute rejected the conclusions of the analysis, saying that the White House had chosen only the data that suited it. In addition, it was reportedly published on the same day as November inflation in the USA was announced. According to Julie Anna Potts Institute president, this is “no coincidence.”

author avatar
EditorialTeam
The Trader-Magazine.com EditorialTeam is a collective of certified financial analysts, active traders, and cryptocurrency experts. Our mission is to transform complex market data (forex, equities, indices) into accessible financial education. All content undergoes rigorous, multi-level fact-checking to ensure we deliver only accurate, objective information for your trading and investment decisions.

Top 10 financial instruments for 2022. What will their prospects be in 2023?

The year 2022 has brought countless surprises and obstacles...

Telegram scams: how they work and how to protect yourself

Telegram has become one of the most widely used...

Trump Saved TikTok from a Ban. The App in the U.S. Moves into American Hands

TikTok narrowly avoided a ban in the United States...

Climate Change Poses Major Risks to Financial Markets, Regulator Warns

WASHINGTON — A top financial regulator is opening a...

Golden Brokers Review

Golden Brokers Limited was founded in 2018, it is...

Siemens’ Quarterly Profit Beats Estimates as the Company Benefits from AI-Related Demand

German industrial conglomerate Siemens increased its profit from industrial...

Sell Stop Orders: How They Work, When They Trigger and Where They Fail

A sell stop order allows investors to automatically sell an asset...

German Authority Investigates PayPal Over Possible Restriction of Competition

The online payment system PayPal may be engaging in...

Airbnb Could Earn More From the Same Booking

Airbnb plans to bring car rentals and partner services directly into its platform. With AI customer support reducing overheads, the company aims to earn higher profits from existing customer bookings.

Over-the-Counter Markets: How OTC Trading Works Outside Centralized Exchanges

Over-the-counter (OTC) trading allows investors, financial institutions, and companies...

Maersk’s profits grew, but a return via Suez may squeeze margins [1]

Maersk posted an operating profit of USD 3.3 billion...

Shooting Star Candlestick: How to Read It Without Trading the Shape Alone

A shooting star candlestick can warn that an upward...
spot_img