
CONESVILLE, IA (Photo by David Greedy/Getty Images)
After years of consolidation in the agriculture industry, just a handful of companies control how our water is treated. When political leaders and regulators were focused on ensuring a distributed economy that supported diversified farming operations, small farmers, and thriving rural towns, there were less nitrates in the water. Unfortunately, when Iowa officials decided to abandon this vision for a policy of “get big or get out” in the 1970s, it led to the rise of monopolistic agribusinesses that have destroyed small farms, hollowed out rural towns and negatively impacted our water quality.
This current system also does not work for those living in cities. Despite “retiring” from our broken agriculture system last year due to corporate consolidation, my experience is a good reminder that these problems impact us all. I live in Urbandale where Central Iowa Water Works has enacted its first-ever ban on lawn watering because of water shortages caused by high nitrate concentration. In addition to watching my lawn suffer, I am beginning to question drinking my tap water. What does agribusiness consolidation have to do with my contaminated tap water? Everything!
The consolidation in every sector of agriculture has caused this water ban. Whether it is the meatpackers forcing chicken or hog farmers to go to contract farming where the farmer no longer owns the animals, but they do get the mortgage to the CAFO and the poop. This meatpacker monopoly power pushes more pigs and more poop on fewer farms.
Lack of competition in the machinery industry leads to more expensive machinery and fewer farmers tending more land and a push for quantity over quality in terms of acres. This contributes to soil erosion affecting water quality.
The consolidation of grain processors has pushed for more corn production. This leads to more nitrogen being applied, which leads to higher levels of nitrates entering our water supply.
In all these industries, whether the meatpackers and grain processors pushing down the market price or the input providers continually raising prices, farmers are squeezed more every year. This leads to overproduction of grain and livestock to meet high production costs and low market prices. This overproduction leads to an over-application of synthetic fertilizer like anhydrous ammonia or an over-application of manure.
This may be a perfect system for consolidated agribusiness to produce the most corn, soybeans, eggs, or pigs–along with massive profits for corporate executives and shareholders – but this is not the perfect system for Iowans. Our hollowed out small towns, abandoned acreages, and poor water quality are telling us the system is wrong. It is time to break up these large agribusinesses and make these agricultural industries more competitive.
The reason I am not farming today is the same reason we cannot have clean water. The reason the enrollment sizes at my grade school have shrunk is the same reason we cannot have clean water. The reason why we needed a PBM bill is why we cannot have clean water. The reason why discount stores like Walmart and Dollar General can unfairly compete against independent grocery stores is why we cannot have clean water. This reason is corporate consolidation and monopolistic power.
It takes the people and their legislators to stand up to consolidation and monopolies. We need antitrust enforcement like the FTC currently suing John Deere for Right to Repair and state and federal antimonopoly policies like banning price discrimination and PBMs. With better antitrust enforcement and antimonopoly policies like we had in the past, we can have more farmers, thriving rural communities, and clean water.
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