Tyson closing plant in Perry
- Thread starter ClonerJams
- Start date
-
Politics and In-State Rivals Threads - You will notice that you may or may not be seeing expected posts from the Politics and In-State Rivals forums.
Due to the nature of these forums, they have been changed from an opt-out to opt-in design - meaning you must opt-in to see them. Unfortunately, that only changes the default for new registrations. Your selections right now are likely not what you want.
You can opt-in/out to either the Politics or In-State Rivals Forums in your user settings (click for instructions to learn more).
I wonder if the lack of rail service has had any effect on this decision. I dont think any other Tyson plants in Iowa lack rail service. I know the plant used to get rail switched right up until the end of that line.
Not saying it is the end all, but I can see it being a reason, when they looked at the plant vs others.
If you are an industry, that utilizes rail, and you have a plant without rail are you going to continue to invest or expand in that plant or will you in a location with rail service.
I am sure there are other reasons, and they have maintained operations for quite a few years without, but this could be a factor.
Not saying it is the end all, but I can see it being a reason, when they looked at the plant vs others.
If you are an industry, that utilizes rail, and you have a plant without rail are you going to continue to invest or expand in that plant or will you in a location with rail service.
I am sure there are other reasons, and they have maintained operations for quite a few years without, but this could be a factor.
?
Pork can usually be found quite cheaply. Bacon is still high, but chops,loins, roasts and ribs can usually be found under $3/# if you watch a little.
I am in the industry, as well, pork specifically. Worked for Farmland/Smithfield for many years and have been at a smaller company for about the last 10 that continues to grow and expand. I'm guessing Wholestone won't have much interest in this one; they just linked up with Prestage not that long ago to basically run as a joint venture (think Seaboard and Triumph) which got them their extra slaughter capacity, thus they likely never do their new facility in Sioux Falls that they publicly talked about plans for a couple years ago.
It's also been an "open secret" in the industry for the last 5-10 years that Tyson wants out of the pork business. They almost had an agreement with Smithfield to take over their pork sector but it likely would have never passed approval from the government as it would have created an even bigger monopoly than exists right now. None of Tyson's pork plants are in great shape facility-wise, and this being their only single shift plant made it an easy one for them to close.
Didn’t Tyson only recently take advantage of some corporate welfare in order to upgrade the facility?
Problem is that housing values in that town had to have taken a nose dive after this announcement. So even if you wanted to leave to another job, many will suddenly be underwater on their homes as well.
At Costco it was less than $2/pound. We even ground some up and filled the freezer
I loaded up at end of year.
Loins were $1.99 lb and $8 off per package.
7 to 9 lb packs. So basically hovering close to $1 per pound.
Farmer co-ops should take over as many functions as possible that are currently being fulfilled by enormous corporations. I think greater control would making farming more lucrative and food prices cheaper.
Feel so badly for the town of Perry.
My wife and I used to eat ribeye steaks all the time, but now the cost is ridiculous so we don't eat them much anymore. We've started eating pork chops more. In fact, we'll be grilling some tonight.
My wife and I used to eat ribeye steaks all the time, but now the cost is ridiculous so we don't eat them much anymore. We've started eating pork chops more. In fact, we'll be grilling some tonight.
That's part of it. They very much prefer to focus on poultry and beef. They have very little vertical integration in the pork sector, which has been a big advantage for their main competitors for years.
What's your analysis of someone buying it giving it a makeover and reopening it? Selling carcass to a major sort of like the Hormel kill plant in Austin that isn't Hormel.
Or maybe kill and further process?
That's optimistic usually in the packing industry someone tries a start up the big crush them and either let the facilities shutter or buy them cheap. How many times has Tama been sold? (Honest question I don't know the answer but it has been a few.)
I think some sort of anti-trust protection/penalty would be in order in those cases, but that sort of thing seems to be extremely selective.
I believe I am some kind of cooperative owner of Tama's plant from 25 years ago. And Dubuque's too, come to think of it.
Co-op ownership of a plant isn't a big problem. It's distribution of product against JBS and Tyson. You won't beat them at their own game. And if you are getting into a premium/niche marketing segment you have to know exactly where it's all going to go before you even start.
Someone will want that facility with the upgrades. But I'm guessing it won't be slaughter facility when it returns. Maybe dog food or something like that, I'd guess.
