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by ks2048 347 days ago
I'm pretty sure the food supply sources are massively consolidated. I don't know about the delivery part or why that would matter more than the actual food production.

A quick search will lead to quotes like "Four companies now control more than half of the market in chicken processing (Tyson, JBS, Perdue, and Sanderson), close to 70 percent in pork (Smithfield, JBS, Tyson, and Hormel), and nearly three quarters in beef (JBS, Tyson, Cargill, and National Beef)"

3 comments

I've worked in the industry for over a decade and food distributors can squeeze the manufacturers more than the other way around. That's a very silly statement if you read it with any knowledge of the space.
I certainly don't know anything about the space, but by "matters more", I was thinking about caring more about what I am eating as opposed to how it was distributed. I suppose both are important, though.
The fact is literally no one in this space cares what you're eating. They just want to make money. Doesn't matter what side of it they're on.
Then there is the whole industry of facilities management and food service at places like stadiums and airports. Also run by a few big players.
Margins on food staples like Chicken are very low, which suggests that consolidation is inevitable.

Supermarket margins are also very low.