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Tyson to Close or Sell Three Beef Facilities Amid Cattle Shortage

By Ryan Hanrahan

Meatingplace’s Chris Moore reported that “Tyson Foods will close two beef-related facilities and seek a buyer for a third as the company restructures its beef operations in response to historically tight U.S. cattle supplies.”

“The company said it will end operations at its Joslin, Ill., beef plant and Eagle Mountain, Utah, case-ready facility. Tyson also is pursuing the sale of its Pasco, Wash., beef facility,” Moore reported. “Tyson will consolidate its beef business around three centrally located slaughter facilities in Dakota City, Neb., Holcomb, Kan., and Amarillo, Texas. Capacity from the closing facilities will be shifted to other Tyson locations with room for additional production.”

“The company plans to ramp up a second shift at its Amarillo facility as cattle supplies become available. Tyson said the restructuring will allow it to maintain a similar level of cattle harvesting across a smaller, more efficient network,” Moore reported. “Tyson attributed the changes to the prolonged contraction in the U.S. cattle herd. Recent USDA inventory data continued to show limited heifer retention, indicating that cattle supplies are likely to remain constrained and that a significant expansion of the herd has yet to take hold.”

Agri-Pulse’s Noah Wicks reported that “in a statement, National Cattlemen’s Beef Association CEO Colin Woodall said his organization is ‘troubled’ by the Joslin closure, noting that ‘for many years, the plant has played a vital role in the Midwest beef supply chain.’ He also called the Pasco, Wash., facility ‘critical for cattle producers in the Northwest.'”

Source : illinois.edu

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