The four companies that produce the overwhelming majority of the U.S.’s frozen potato products conspired to fix prices in recent years, according to a series of newly filed lawsuits.
Five antitrust suits, the Washington Post reports, were filed in an Illinois federal court in recent days against Lamb Weston, J.R. Simplot, McCain Foods and Cavendish Farms. Combined, those companies control more than 95% of the market for french fries and other frozen potato products.
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Circana, a market research firm, and the National Potato Promotion Board were also named in two of the suits.
The filings contend that because potato products are generally interchangeable, competition between those producers should help drive prices down. Instead, the lawsuits noted, prices rose by 47% from the summer of 2022 and 2024.
The lawsuits suggested that the companies improperly shared trade information and coordinated a series of price increases starting in 2021. The filing cited alleged statements from company executives — including one who noted that its rivals were “behaving themselves” — as well as anecdotal observations from consumers.
Potatoes are the nation’s largest vegetable crop, and demand for potato products has continued to grow in recent years — with few alternative side dishes commanding anywhere near a similar market presence. Those factors, combined with a highly consolidated industry, analysts said, left a market particularly vulnerable to manipulation.
A spokesman for Canada-based McCain told the Post that the company “strongly disputes” the allegations that it broke any laws, and that it would vigorously defend itself.
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