WASHINGTON — The Justice Department has expanded its investigation into record-high beef prices to include eight major grocery retailers.
The department’s Antitrust Division is seeking information from Kroger, Walmart, Publix, Albertsons, Aldi, Ahold Delhaize, Costco and Amazon. The review follows an earlier investigation involving the nation’s largest meatpacking companies.
The Justice Department is reportedly requesting information dating back to 2020, including details about beef prices, profit margins, operating expenses and purchasing agreements. The investigation will examine whether business practices or a lack of competition contributed to rising retail prices.
The inquiry does not necessarily mean the retailers violated federal law.
Beef prices have increased considerably faster than overall inflation. During the 12 months ending in July, beef and veal prices rose 9.4%, while overall consumer prices increased 3.4%. Ground beef prices increased 9%, steak prices rose 9.6% and roast prices climbed 13.5%, according to the Bureau of Labor Statistics.
Several economic and agricultural factors are also contributing to higher prices. Years of drought, elevated feed and production costs and a shrinking cattle supply have pushed the U.S. cattle herd to its lowest level in about 75 years.
The smaller herd means fewer cattle are available for beef production. Rebuilding supplies could take several years because ranchers must retain breeding animals rather than send them to market.
Strong consumer demand has continued despite the higher prices. Some analysts expect tight cattle supplies and elevated beef prices to continue into 2027.
The expanded Justice Department investigation will extend federal scrutiny from meat processing into the retail portion of the beef supply chain. The department has not accused any of the eight retailers of wrongdoing.