On July 9, 2021 President Biden issued an Executive Order on Promoting Competition in the American Economy. The Order states “For decades, corporate consolidation has been accelerating. In over 75% of U.S. industries, a smaller number of large companies now control more of the business than they did twenty years ago. That lack of competition drives up prices for consumers. As fewer large players have controlled more of the market, mark-ups (charges over cost) have tripled.”
This is certainly true in pet food. Mars Petcare and Nestle Purina Petcare – per Statista.com – are the largest manufacturers of pet food in the US by a significant margin. The revenue of just these two manufacturers combined, is an estimated 70% of the entire U.S. pet food market.
Competition has been hindered in pet food due to existing regulations. Smaller actual pet ‘food’ companies have struggled to distinguish themselves in the marketplace from the mega pet ‘feed’ companies because regulations don’t allow them to. Pet food regulations, established by AAFCO and enforced by FDA, require all pet food labels to have identical information. The biggest example of this is quality of ingredients. The FDA Center for Veterinary Medicine (CVM) allows pet food manufacturers to source illegal (per federal and state laws) ingredients from diseased animals and non-slaughtered decomposing animals with NO warning or disclosure to the consumer. A pet food whose ‘real chicken’ is sourced from condemned diseased birds or whose ‘real beef’ is sourced from decomposing non-slaughtered cattle is allowed by FDA to paste a pretty image of delicious looking grilled chicken breast or steak on the label and never disclose the true quality of ingredients.
To make matters worse, pet foods that source actual food ingredients such as USDA inspected and passed meat, are NOT allowed to disclose their quality of ingredients. The labels of both legal food ingredient pet foods and illegal feed ingredient pet foods are required by FDA to be identical. Because of this FDA CVM enforcement, a consumer is denied the opportunity to differentiate between dramatically different pet foods, denied the opportunity to comparison shop. Directly because of FDA CVM’s actions, quality ingredient pet food manufacturers are denied the opportunity to differentiate their products from feed grade pet food products. These denials are the very foundation of anti-competitive practices.
The President’s press brief stated the Executive Order is establishing “a whole-of-government effort to promote competition in the American economy.” The Statutory Basis of a Whole-of-Government Competition Policy includes “(d) (iv) promoting market transparency through compelled disclosure of information.” Further, the Policy states “Agencies can influence the conditions of competition through their exercise of regulatory authority or through the procurement process.”
In other words, the new Executive Order from the President is asking federal agencies such as FDA CVM to use their regulatory authority to promote transparency in regulated products by requiring disclosure of pertinent information to consumers – enabling the consumer to make informed choices, encouraging competition in the marketplace.
Based on the new Executive Order, we have asked FDA to immediately issue regulations that encourage comparison shopping opportunity for pet owners. We have asked FDA to require pet food labels to disclose quality of ingredients, and require pet food labels to disclose the inclusion of ingredients sourced from diseased animals or animals that have died other than by slaughter.
Our letter to FDA sent 7/14/21:
Dr. Steven Solomon
Center for Veterinary Medicine
Food and Drug Administration
On July 9, 2021 President Biden issued “Executive Order on Promoting Competition in the American Economy.” The Executive Order “established a whole-of-government effort to promote competition in the American economy.”
The Statutory Basis of a Whole-of-Government Competition Policy includes “(d) (iv) promoting market transparency through compelled disclosure of information.” Further, the Policy states “Agencies can influence the conditions of competition through their exercise of regulatory authority or through the procurement process.”
Through enforcement discretion the FDA CVM allows pet food manufacturers to source ingredients from diseased animals and animals that have died other than by slaughter – without disclosure to the consumer. Pet products that contain illegal feed ingredients (allowed by FDA CVM) and pet products that contain legal food ingredients are by regulation labeled identically giving the consumer no method to differentiate between products/comparison shop. Preventing consumers to know quality of ingredients in their pet’s food or treat, is preventing consumer access to decision making information and in turn preventing competition in the pet food market.
No pet owner would knowingly purchase a pet food that contained diseased, or decomposing animal material. Yet unknowingly millions of U.S. pet owners are. Because of FDA’s actions, pet owners are denied the opportunity to differentiate between illegal ingredient and legal ingredient pet foods. Because of FDA’s actions, quality ingredient pet food manufacturers are denied the opportunity to differentiate their products from feed grade pet products. These denials are the very foundation of anti-competitive practices.
We (pet owner members of Association for Truth in Pet Food – a pet food consumer stakeholder organization) believe that based on the President’s direction, FDA CVM must immediately begin to issue regulations that encourage comparison shopping opportunity for pet owners. Pet food labels must be required to disclose quality of ingredients, must be required to disclose the inclusion of ingredients sourced from diseased animals or animals that have died other than by slaughter.
We must also mention, though this issue is more jurisdiction of the FTC than FDA (and will be reported to FTC), the mega-corporations that dominate the pet food industry with no current government intervention.
The President stated in a press briefing “Over the past few decades, key agricultural markets have become more concentrated and less competitive.” This is certainly true of the pet food industry.
Mars Petcare and Nestle Purina Petcare – per Statista.com – are the largest manufacturers of pet food in the US by a significant margin. The revenue of just these two manufacturers combined, is an estimated 70% of the entire U.S. pet food market. One could certainly argue that directly because FDA CVM has allowed manufacturers the ability to utilize inexpensive inferior ingredients without disclosure to the consumer has contributed to the control of the industry by just a few manufacturers – preventing competition in the industry.
We cannot speak for food ingredient pet food manufacturers that are certainly being hindered because of FDA selective enforcement and lack of required transparency. We can however speak for pet owners – the largest stakeholder of pet food. Pet owners are most certainly being prevented the opportunity to comparison shop, prevented the opportunity to differentiate between a food ingredient pet food and a feed ingredient pet food. Although FDA CVM has ignored this fact for years, ignored consumer requests for years – now, thanks to President Biden’s Executive Order we have grounds to again demand change for millions of U.S. pet owners.
By order of the President, as part of the “whole-of-government” initiative, FDA CVM must issue regulations that require pet food labels to disclose transparency information to benefit consumers and promote comparison shopping. Pet food labels must be required to disclose quality of ingredients, and must be required to disclose the inclusion of ingredients sourced from diseased animals or animals that have died other than by slaughter. Anything less is restricting the ability for pet owners to make informed pet product decisions, comparison shop and directly prevents competition in the pet food industry.
Your prompt response to our request is appreciated.
Susan Thixton
Pet Food Consumer Advocate
AssociationforTruthinPetFood.com
TruthaboutPetFood.com
And just in case the FDA CVM decides to ignore our request, we sent another letter to the President. With this recent Executive Order, we want it on record in multiple government offices that existing FDA CVM actions are enabling anti-competitive practices in pet food.
Our letter to the President sent 7/14/21:
Dear President Biden,
I appreciate your response to my previous letter about the condition of pet food in the U.S. However, in light of your recent Executive Order Promoting Competition in the American Economy, I had to write again.
I expect you do not condone the sale of adulterated products to consumers, and I expect you do not condone consumers being denied pertinent product information to comparison shop. This is exactly what is happening in pet food in the U.S.
All pet product labels make them appear to contain wholesome food. However, the FDA Center for Veterinary Medicine (CVM) allows manufacturers to source adulterated ingredients (violating the Federal Food Drug and Cosmetic Act) originating from diseased animals and decomposing non-slaughtered animals WITHOUT disclosure to the consumer. On the other hand, pet foods that do NOT source these illegal ingredients (instead utilizing legal food ingredients) are prohibited by FDA from disclosing ingredient quality on labels. All pet product labels – illegal ingredient pet foods and legal ingredient pet foods – are required by FDA to appear the same to the consumer. Pet owners are denied transparent labels, denied the opportunity to comparison shop.
No pet owner would knowingly purchase a pet food that contained diseased, or decomposing animal material. Yet unknowingly millions of U.S. pet owners are. Because of FDA’s actions, pet owners are denied information to comparison shop – the very foundation of anti-competitive practices.
I ask you to require the FDA to issue regulations requiring pet food labels to disclose quality of ingredients and disclose the use of ingredients sourced from diseased or non-slaughtered animals. There can be no pet food market transparency until FDA CVM requires disclosure of this pertinent information to consumers.
As an experienced pet food consumer advocate, I welcome an opportunity to explain the challenges pet owners face with the While House Competition Council.
Looking forward to transparency progress in pet food –
Susan Thixton
Pet Food Consumer Advocate
AssociationforTruthinPetFood.com
TruthaboutPetFood.com
You can help!
This appears to be an opportunity for us to be finally heard and more voices are needed. Pet owners are encouraged to send the President, members of Congress and FDA a message. Example emails are below:
Example email to elected officials:
I expect you do not condone the sale of adulterated products to consumers, and I expect you do not condone consumers being denied pertinent product information to comparison shop. This is exactly what is happening in pet food in the U.S.
Through enforcement discretion the FDA CVM allows pet food manufacturers to source ingredients from diseased animals and animals that have died other than by slaughter – without disclosure to the consumer. Pet products that contain illegal feed ingredients (allowed by FDA CVM) and pet products that contain legal food ingredients are by regulation labeled identically giving the consumer no method to differentiate between products/comparison shop. Preventing consumers to know quality of ingredients in their pet’s food or treat, is preventing consumer access to decision making information and in turn preventing competition in the pet food market.
No pet owner would knowingly purchase a pet food that contained diseased, or decomposing animal material. Yet unknowingly millions of U.S. pet owners are. Because of FDA’s actions, pet owners are denied the opportunity to differentiate between illegal ingredient and legal ingredient pet foods. Because of FDA’s actions, quality ingredient pet food manufacturers are denied the opportunity to differentiate their products from feed grade pet products. These denials are the very foundation of anti-competitive practices.
Based on the President’s recent Executive Order Promoting Competition in the American Economy, I am asking you to require FDA CVM to issue regulations that require pet food labels to disclose transparency information to benefit consumers and promote comparison shopping. Pet food labels must be required to disclose quality of ingredients, and must be required to disclose the inclusion of ingredients sourced from diseased animals or animals that have died other than by slaughter. Anything less is restricting the ability for pet owners to make informed pet product decisions, comparison shop and directly prevents competition in the pet food industry.
Example email to FDA, send to AskCVM@fda.hhs.gov:
On July 9, 2021 President Biden issued “Executive Order on Promoting Competition in the American Economy.” The Executive Order “established a whole-of-government effort to promote competition in the American economy.”
The Statutory Basis of a Whole-of-Government Competition Policy includes “(d) (iv) promoting market transparency through compelled disclosure of information.” Further, the Policy states “Agencies can influence the conditions of competition through their exercise of regulatory authority or through the procurement process.”
Through enforcement discretion the FDA CVM allows pet food manufacturers to source ingredients from diseased animals and animals that have died other than by slaughter – without disclosure to the consumer. Pet products that contain illegal feed ingredients (allowed by FDA CVM) and pet products that contain legal food ingredients are by regulation labeled identically giving the consumer no method to differentiate between products/comparison shop. Preventing consumers to know quality of ingredients in their pet’s food or treat, is preventing consumer access to decision making information and in turn preventing competition in the pet food market.
No pet owner would knowingly purchase a pet food that contained diseased, or decomposing animal material. Yet unknowingly millions of U.S. pet owners are. Because of FDA’s actions, pet owners are denied the opportunity to differentiate between illegal ingredient and legal ingredient pet foods. Because of FDA’s actions, quality ingredient pet food manufacturers are denied the opportunity to differentiate their products from feed grade pet products. These denials are the very foundation of anti-competitive practices.
By order of the President, as part of the “whole-of-government” initiative, FDA CVM must issue regulations that require pet food labels to disclose transparency information to benefit consumers and promote comparison shopping. Pet food labels must be required to disclose quality of ingredients, and must be required to disclose the inclusion of ingredients sourced from diseased animals or animals that have died other than by slaughter. Anything less is restricting the ability for pet owners to make informed pet product decisions, comparison shop and directly prevents competition in the pet food industry.
Your prompt response to our request is appreciated.
Here’s hoping this Executive Order gives us the foundation to demand transparency in pet food.
Wishing you and your pet(s) the best,
Susan Thixton
Pet Food Safety Advocate
Author Buyer Beware, Co-Author Dinner PAWsible
TruthaboutPetFood.com
Association for Truth in Pet Food
Become a member of our pet food consumer Association. Association for Truth in Pet Food is a stakeholder organization representing the voice of pet food consumers at AAFCO and with FDA. Your membership helps representatives attend meetings and voice consumer concerns with regulatory authorities. Click Here to learn more.
What’s in Your Pet’s Food?
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The 2021 List
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Beth Marousek
July 14, 2021 at 1:27 pm
Thanks for jumping on this. Good work!!
Laurie Raymond
July 14, 2021 at 1:29 pm
This emphasis on competition is indeed heartening. As a retailer, I have faced a decade and a half of shrinking opportunities to stock quality pet food due to industry consolidation. How many purchasers know that their neighborhood store can only buy their preferred brand from one distributor holding a regional monopoly? You can’t get honest answers when you question availability issues. You can’t switch to another supplier. I wish we could initiate anti-trust lawsuits against the big distributors.
I have taught home-made pet food making to my customers for many years, both raw and cooked meals and diets. One of the hidden reasons for outrageous prices for crap pet “feed” is the way small producers and processors are regulated. ONe used to be able to buy farm raised and slaughtered meats directly, but no more. Only a few giant slaughter houses, connected to hideous feed lots, are left. Raw dairies, the most careful and principled producers, are the most harrassed. Likewise farms and ranches humanely raising livestock are prevented from selling meat from small, state of the art abbatoirs. Those are harrassed to death by USDA, and none of this is in the interest of quality, health, or fair reward for best agricultural practices. It’s about skimming off profits to an ever-shrinking number of people at the top. Workers at all levels and entrepreneurs are all penalized by the system. Don’t imagine that this is going to be an easy fix. There’s too much at stake for those who currently wield all the power. But it has to stop. Everyone, from pet parents to small store owners to farmers to honest manufacturers, all need to work together.
Susan Thixton
July 14, 2021 at 4:27 pm
I couldn’t agree more with you Laurie. So many things need to change, we need everyone working together to get something accomplished.
Sally Arany
July 15, 2021 at 10:11 am
If Congress is now going after big tech, they need to also go after big pet food, AAFCO, and all their insiders. Why can’t we get an anti-trust lawsuit filed? I’m not an idealist, but I know we, as fed up consumers, need to be a lot noisier than we have been. The word needs to keep spreading. Laurie, thanks for posting your insight.
T Allen
July 14, 2021 at 2:35 pm
Excellent! Now we at least have some regulatory backing for getting changes made. Thank you for the sample letters Susan, it saves us so much time and you write better than most of us can because you know the subject so well! Come on everyone, we can do this!
Mirsades
July 14, 2021 at 3:22 pm
I can’t share this to facebook. When I copy and paste the information in the address bar it says “WordPress error” where the article should show up. This is how I’ve always sent your alerts, etc. to facebook and never had any problem before. Do you know another way I can pass this on?
Susan Thixton
July 14, 2021 at 4:21 pm
At the top of the post, just below and right of the title there is a facebook icon. If you click on that, you should be able to share. As well, you can go to the Truth about Pet Food Facebook page and share my post of the article. Thanks!
Shells
July 15, 2021 at 8:47 am
Thank you Susan!!!
deb
July 15, 2021 at 10:15 am
The problem is everything this administration is doing is geared towards takeovers and promotions of a few big corporations while putting the smaller company out of business. This “Executive order” is meaningless and will not do what you think it will do.
Sally Arany
July 15, 2021 at 10:20 am
Susan, this is one of the most important articles you’ve written. The sample letters are top quality.