Source: POLITICO'S MORNING AGRICULTURE, 4/1/20

Grassley told reporters on Tuesday that he wants the Trump administration to crack down on potential price coordination by large meatpackers — the latest in a string of requests by farm-state senators for stronger federal action on the issue, our Catherine Boudreau reports.

Western and Midwestern members of both parties have pointed to disparity in the prices fetched by cattle producers compared with large meat processors as a sign of possible market manipulation. Grassley said the recent drop in cattle futures "may be understandable under normal situations, but this is happening as Americans bought 77 percent more meat in the month of March."

Agriculture Secretary Sonny Perdue said in March that his department's monthslong price-fixing probe is ongoing, and he even called for Congress to give him additional "tools" to address the issue. Senators last month also sent a letter to Attorney General William Barr asking him to investigate.

Big picture: The coronavirus pandemic has exacerbated what was already a major point of friction in the industry. Cargill Inc., Tyson Foods, JBS USA and National Beef together control more than 80 percent of the U.S. beef supply, and they've faced growing scrutiny by lawmakers and regulators because of the large price gap between live cattle and retail beef.

A spokesperson for Tyson said the company is concerned about the success and sustainability of its cattle suppliers and wants them to do well, noting that the company paid ranchers a one-time premium above the market price on cattle harvested last week to help them during the pandemic.