this post was submitted on 18 Aug 2024
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The supermarkets are just catering to their actual customers: the stock market.
Price controls don’t address the root cause either. We need massive anti trust action to break up the agrifood and food distribution monopolies.
do you have supermarket monopolies in the US though? it seems like you have heaps of choices
like there’s some big companies for sure, but they’re not really monopolies are they?
heck in australia we have a duopoly: cole’s and woolworths… we also have aldi and some independents, but they don’t really move the needle… point being we’re much closer to monopoly and still call it a duopoly
i think the term is important, because the solutions are different
I’m not in the US. And the post is about Canada. But the problems are global.
You are right, it’s not a monopoly in the strict sense. In most countries, including mine, there are a few serious choke points in the supply chain. Basically, there’s two or three supermarket chains, a handful of specialized logistics companies (turns out here they’re one that handles all packaged cheese distribution for all supermarkets) and then a very small number of producers per item (most detergents and soaps you’ve ever heard of are from one of two companies world wide).
If you dig deeper, it doesn’t really get any better. Yes, there are a lot of farmers, but consolidation is happening as we speak. Also, all fertilizer, herbicide and most of the seeds come from the usual suspects. So, yes, there are many companies involved, but there isn’t a whole lot of actual competition.