The High Cost of Cheap Meat
Examining the Role of Meat and Dairy Subsidies in America
If you’ve ever wondered why a burger at your favorite fast-food joint costs less than a salad, you’re not alone. The answer lies in one of the most overlooked components of America’s food system: subsidies.
The U.S. government spends billions of dollars each year subsidizing the meat and dairy industries, propping them up with financial support that makes animal products artificially cheap. For anyone concerned about climate change, public health, or even just fair food pricing, this is a big deal.
What Are Subsidies?
Subsidies are financial support mechanisms provided by the government to stabilize key industries. By providing monetary assistance, governments help industries remain competitive, manage risks, and deliver goods at lower prices.
These subsidies are meant to encourage production and protect consumers from price increases, but they can also distort market dynamics, making some products artificially cheap. While they are often seen as a way to support critical industries, subsidies can have long-term consequences that are not immediately visible to the public.
A Look at the U.S.’s Meat and Dairy Subsidies
In agriculture, subsidies typically come in the form of direct payments to farmers, insurance to guard against crop failures or funding for infrastructure and research.
Government subsidies lower the cost of feed crops like corn and soybeans. This is done by covering a portion of farmers’ production expenses, enabling these crops to be sold at lower prices. This enables livestock producers to purchase feed cheaply, significantly lowering the expense of raising — and then selling — animals.
Reduced production costs for livestock translate into lower prices for meat and dairy products in grocery stores and fast-food chains. That’s why a fast-food burger often costs less than a salad: the hidden hand of government subsidies is keeping animal-based products inexpensive and widely available.
What Are the Effects of the U.S.’s Meat and Dairy Subsidies?
The immediate effect of meat and dairy subsidies is a lower cost for goods for farmers, leading to a lower cost for consumers. And this is great! I know I want my grocery bill to be cheaper.
However, these subsidies come with hidden costs. Shielding consumers from the true price of meat and dairy subsidies perpetuates an unsustainable food system that encourages environmental harm, greenhouse gas emissions, and resource depletion.
While subsidies make burgers and milk affordable today, taxpayers and ecosystems ultimately bear the burden of the damage they cause in the long run.
- Limited consumer choice: By artificially lowering the cost of meat, subsidies distort the food market, making it more difficult for plant-based foods to compete. If plant-based options were priced similarly to meat, it’s likely that consumers would opt for the eco-friendly alternative. This limits consumers' access to affordable, sustainable, and healthy options.
- Inequity in food systems: Subsidy policies that favor Big Agriculture often marginalize small-scale farmers, particularly those growing diverse crops. Shifting this dynamic could create a more equitable food system that benefits both farmers and consumers.
- Negative environmental impact: Livestock production is one of the largest contributors to greenhouse gas emissions, rivaling the entire transportation sector. Raising animals for meat and dairy also requires vast amounts of water, land, and energy. Yet, instead of incentivizing sustainable practices, U.S. subsidies support a system that perpetuates environmental degradation. Corn and soy are grown in monocultures that degrade soil, require heavy pesticide use, and harm local ecosystems — all to feed billions of animals destined for slaughter.
- Unsustainable economic system: While subsidies make products like burgers and milk more affordable today, they contribute to long-term economic instability. For example, recent price hikes in staples like milk and eggs highlight the volatility in the food system, often caused by rising production costs in an unsustainable industry. Ultimately, taxpayers and ecosystems bear the hidden costs of this damage. By continuing to prop up an unsustainable system, subsidies mask the true cost of meat and dairy, leaving future generations to shoulder the consequences.
- Negative health impact: Meat subsidies not only affect the environment but also public health. Cheap meat leads to overconsumption, contributing to diet-related illnesses like heart disease, obesity, and diabetes. Despite the health benefits of eating more fruits, vegetables, and whole grains, these options remain more expensive due to the lack of government support, creating a barrier to healthier eating.
With the planet warming at an alarming rate, continuing to support systems that accelerate environmental destruction is no longer viable. Redirecting subsidies toward regenerative agriculture or plant-based alternatives could significantly reduce emissions and help address the climate crisis.
What’s Next? Trump’s Return and the Future of Meat Subsidies
As Donald Trump prepares to re-enter the White House in 2025, the future of agricultural subsidies — and by extension, the American food system — faces a significant crossroads.
Historically, Trump has championed Big Agriculture, doubling down on policies that favor industrial-scale farming during his first term. His administration was marked by extensive support for farmers growing feed crops like corn and soy, with billions of dollars in subsidies and bailout payments during the U.S.-China trade war.
If Trump follows the same playbook, we can expect:
- Increased Support for Big Ag: Trump has long prioritized large-scale agricultural operations, including the meat and dairy industries, which rely heavily on feed crop subsidies.
- Rollbacks on Climate Policies: During his previous term, Trump withdrew the U.S. from the Paris Climate Agreement and rolled back numerous environmental protections. If his administration once again deprioritizes climate action, opportunities to shift subsidies toward sustainable agriculture and climate-smart farming practices may be lost.
- Focus on Deregulation: Trump is expected to continue promoting deregulation, potentially making it easier for large meat producers to expand operations with fewer environmental safeguards.
- Limited Investment in Plant-Based Innovation: While consumer interest in plant-based foods has soared in recent years, federal support for these alternatives remains sparse. With Trump in office, it’s unlikely that subsidies will shift toward emerging industries like lab-grown meat or plant-based proteins, despite their potential to reduce emissions and diversify the American food system.
What Can Be Done?
The good news is that change is possible. Advocates are pushing for subsidy reform that redirects government spending toward sustainable practices. Here’s how you can help:
- Vote with your fork: Support local, sustainable farmers by buying their products. Every dollar you spend is a vote for the kind of food system you want to see.
- Advocate for policy change: Contact your representatives and urge them to support reforms that level the playing field for plant-based agriculture and sustainable farming.
- Educate yourself and others: The more people understand the true cost of meat subsidies, the more momentum we can build for change.
A Trump presidency poses challenges for those seeking a more equitable and sustainable food system, but it also highlights the importance of grassroots action. Advocacy at the local and state levels will be crucial, as will continued pressure on private companies to adopt more sustainable practices.
U.S. meat subsidies might seem like a dry policy topic, but they’re deeply entwined with some of the biggest challenges of our time. By staying informed and active, we can continue to fight for a future where our plates — and our policies — reflect our values.
Helena “Ellie” Huizenga is a writer who is happiest with a book or on a mountain trail. Stay updated on her writing and sustainable parenting journey by subscribing to her newsletter, The Green Pen.