SALEM, Ohio — Tyson Foods, the second-largest meat and poultry processor in the world, will shut down its beef processing plant in Joslin, Illinois, as part of a major restructuring of its beef business, a move that union leaders and cattle producers say will hit workers and the already-shaky regional cattle industry hard.
In an Aug, 13 news release, Arkansas‑based Tyson said it will concentrate its beef operations around three large plants in Dakota City, Nebraska, Holcomb, Kansas and Amarillo, Texas, in an effort to “create a more competitive footprint” during what it called one of the most severe cattle shortages the country has ever seen. Tight cattle supplies are expected to last, the company said, pointing to recent U.S. Department of Agriculture data that show ranchers aren’t keeping many young female cattle to rebuild their herds. It’s a sign the overall cattle herd isn’t likely to grow soon, and that packers will have to keep cutting back on how many animals they can process.
Scaling back
The ripple effects are already a concern in cattle country. In a statement, the Ohio Cattlemen’s Association said it is “deeply disappointed” by the Joslin closure and what it could mean for producers who have relied on that plant for marketing.
OCA President Lindsey Hall referenced an Aug. 10 announcement by JBS USA to ultimately scale back operations at its Souderton, Pennsylvania plant this month after announcing in June it would close it outright. Instead, the company will now focus on preparing meat at Souderton to be case-ready. While the move preserves 400 jobs, a Pennsylvania Department of Labor and Industry WARN notice listed 1485 positions as affected by the closure of the beef processing facility; the latest news release makes no mention of the more than 1,000 jobs at risk…