Originally posted by chuckChuck
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You have hit the nail on the head. When they process thousands of head per day, the cost per carcass becomes inconsequential. Spread those fixed costs over 1 head per day and it is prohibitive. As evidenced by all of the closed mom and pop butcher shops.Originally posted by chuckChuck View Post
What is the cost of safety regulations in the big processors relative to all the other costs?
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And as a consumer how much more are you willing to pay for additional costs? And how much extra do most consumers want to pay? Wouldn't you say this is a good old fashioned market driven phenomena?
Small players can't compete if consumers need and want health and safety regulations which they generally want.
Would small plants be able to compete if there were no regulations? Not likely to any large amount. This is all driven by the market and economics.
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