This Wednesday, Amazon.com, Inc. (NASDAQ: AMZN) plans to meet with U.S. ranchers seeking to expand distribution of organic and grass-fed meats as they continue to take over Whole Foods. In March, Amazon visited Georgia grass fed meat producer White Oak Pastures to discuss a possible distribution deal which was 2 months before they announced the $13.7 billion Whole Foods acquisition. They also asked the farmer to invite other U.S. livestock producers to further discuss the planned distribution.
United States sales of organic meat and poultry is worth $991 million and increased 17% last year marking its fastest ever annual growth. White Oak Pastures sells about $2 million worth of meat online annually making up the fastest growing segment and 10% of total revenues.
Even though this collaboration seems like a great way to expand organic distribution, some farmers worry that Whole Foods under Amazon might import meat from lower cost producers rather than buy U.S. supplies.