Yet another reason to eat less meat

chickens-4The more I learn about the way most chickens, pigs and cows are raised and slaughtered in America, the less appetite I have for meat. I’m not a vegetarian, and may never become one. But, hey, I’ve given up the NFL. I’d like to give up industrial meat, too.

I’ve long been aware of the negative environmental impacts of factory-produced meat. There’s plenty of evidence that the meat-heavy American diet isn’t good for our health. We’re learning than the overuse of antibiotics in animal agriculture puts human health at risk. And chickens and pigs raised for food are confined in cages and crates barely larger than their bodies. It’s not a pretty picture.

Last week. at a forum organized by the New America Foundation called The New Meat Monopoly: The Animal, The Farmer, and You in the New Age of Global Giants, I heard about another reason to avoid factory-farmed meat: Big meat companies, and in particular Tyson Foods, have grown so powerful that they have made life harder than it needs to be for small-scale farmers and ranchers. At the Washington event, farmers, ranchers, anti-trust experts and animal welfare advocates lined up to pillory the big guys.

Among the speakers at the event was  New America Foundation fellow Christopher Leonard, the author of a well-reviewed new book called The Meat Racket:  The Secret Takeover of America’s Food Business. Leonard argues in the book (which I haven’t read, but hope to) that companies like Tyson “keep farmers in a state of indebted servitude, living like modern-day sharecroppers on the ragged edge of bankruptcy.” They are able to do so in part because many farmers have only one or two customers to sell to, so the customers hold all the cards.

Subsequently, I read Obama’s Game of Chicken, an excellent 2012 article Lina Khan in the Washington Monthly about abuses of power by companies like Tyson and Pilgrim’s Pride, and how Obama’s USDA and DOJ have failed to curb them. Khan, who’s also affiliated with the New America Foundation, describes in rich detail what she calls “the stark and growing imbalance of power between the farmers who grow our food and the companies who process it for us, and how this imbalance enables practices unimaginable in any competitive market.”

I wrote about the New America event last week for Guardian Sustainable Business. Here’s how my story begins:

Like politics, industrial-scale meat production creates strange bedfellows. Animal welfare advocates are joining up with farmers, environmentalists and supporters of stronger antitrust laws in the hope of engaging consumers on the issues involving the meat they buy. The aim? To counter the power of big meat companies like Tyson Foods and JBS, the world’s largest protein company and the owner of brands including Pilgrim’s Pride and Kraft.

“Maybe it’s time for a citizens revolt,” said Barry Lynn, director of the markets, enterprise and resiliency initiative at the New America Foundation. Lynn was speaking at a half-day forum in Washington called “The New Meat Monopoly: the animal, the farmer and you in the new age of global giants“.

The accusations thrown at the global meat giants were mostly familiar. By raising and slaughtering chicken, pigs and cattle on a large scale – about eight billion chickens will be raised and killed this year in the US – these companies squeeze out family farmers, treat animals cruelly, create waste and air pollution, and feed their livestock antibiotics that, over time, put human health at risk and raise healthcare costs, at least according to their critics.

What’s more, these critics argue, is that the meat industry’s consolidation and power have been supported by government policy. Subsidized corn and soy reduce the price of meat. Bank loans to farmers are backstopped by the USDA’s Farm Service Agency. Government regulations make it harder to build and operate small-scale slaughterhouses.

You can read the rest of the story here.

Egg-cellent news: Hampton Creek raises $23M

BeyondEggs-logo-300x300Eggs from caged hens are the cruelest of all factory-farmed products, animal welfare advocates say. So if you care about animal welfare, you should be rooting for Hampton Creek Foods, a San Francisco-based technology company that says it aims to “enable the production of healthier food at a lower cost, starting with the displacement of the conventional chicken egg.”

Today, Hampton Creek is announcing that it has raised another $23 million in venture capital money in a Series B round led by Horizons Ventures, a technology fund overseen by Hong Kong-based billionaire Li Ka-shing, one of Asia’s richest men. He joins investors and partners of Hampton Creek that include Jerry Yang, the former CEO of Yahoo!; Vinod Khosla of Khosla Ventures; and Eagle Cliff, the investment fund of billionaire climate activist Tom Steyer and his wife Kat Taylor, the CEO of OnePacificCoast Bank. Bill Gates, who wrote about Hampton Creek here, has also invested, through Khosla.

I met Josh Tetrick, Hampton Creek’s founder, last year at the Fortune Brainstorm Green conference, after writing about the company. (See What’s for breakfast? Time to get Beyond Eggs) Josh is a very personable guy, a vegan, a former college football player and a Fulbright Scholar who worked in South Africa, Nigeria and Liberia before focusing on the food system, and how to improve it.

Josh believes that the plant-based egg substitutes being developed by Hampton Creek will deliver health benefits (they’re lower in fat and have no cholesterol) and environmental benefits (they require less energy to produce, generate fewer greenhouse gases and less waste) over conventional eggs from caged hens.

Nor will they cost more than conventional eggs. In fact, Tetrick believes that his team of food scientists can outcompete the chicken. In the press release announcing the new round of funding, he is quoted as saying: “Solving a problem means actually solving the problem for most people – not just the folks that can afford to pay $5.99 for organic eggs.”

JustMayo-600x450Hampton Creek has made a lot of progress in the last year. It now has a product called Just Mayo on the shelves at Whole Foods. It’s described as a plant-based, egg-free, dairy-free mayo-style condiment. Up next is egg-free cookie dough and an a liquid plant-based product that could substitute for scrambled eggs.

Meantime, the company says that in the last 90 days it has “signed partnership agreements with 6 Fortune 500 companies, including some of the largest food manufactures and retailers in the world.” It won’t name the companies or talk about the scale of the agreements, so it’s hard to know how meaningful they are.

Still, this new round of fundraising means that Hampton Creek has now raised $30 million in venture money. That’s a sign that the company is moving in the right direction.

An update: Early this morning, Josh Tetrick sent me the picture below from China where he had just met with Li Ka-Shing. That’s Josh T. in the middle, and on the left is his longtime friend Josh Balk, an animal-welfare activist with the Humane Society of the U.S. who works with businesses like Smithfield to improve their treatment of animals.

Picture with Mr. Li