Meat Industry INSIGHTS Newsletter

980315 Storm Slows US Meat Operations, Closes Plant

March 9, 1998

Chicago - At least one pork plant in the U.S. Midwest was closed and many other meat packing plants got a slow start because of employee shortages and livestock delivery problems due to a late winter snowstorm.

The storm Sunday and early Monday packed heavy snow and strong winds through the Midwest, making many roads nearly impassable.

IBP Inc spokesman, Gary Mickelson said the company's Perry, Iowa pork plant will not operate Monday and its Waterloo, Iowa pork plant had canceled the first shift.

"We expect reduced hours at other pork plants. Weather conditions have hampered livestock delivery and getting employees to the plants," Mickelson said.

IBP's beef plants also were operating reduced hours at Joslin, Ill., Emporia, Kan., Denison, Iowa and West Point, Neb, he said.

Second shift production at IBP's beef plant in Lexington, Neb. was cancelled, Mickelson said.

IBP operates 10 beef plants and seven pork plants in the U.S.

Excel Corp., a unit of Cargill, Inc also experienced problems getting employees and livestock to several of its plants, said Mark Klein, Excel spokesman.

Excel's beef plants in Dodge City, Kan. and Schuyler, Neb. were slow getting started because of poor road conditions.

Klein said operations also were reduced by the weather at Excel's three pork plants in Ottumwa, Iowa, Beardstown, Ill. and Marshall, Mo.

Farmland Inc's three pork plants in Denison, Iowa, Crete, Neb. and Monmouth, Ill. were several hours late getting started and had problems getting additional hogs, a company source said.

"It's going to be tough for everyone. We'll all be lucky to get half a day's kill in," he said.

ConAgra Inc officials were unavailable for comment on plant operations.

USDA estimated interior Iowa and southern Minnesota hog receipts on Monday at 80,000 head, compared with 124,000 a week ago. Livestock analysts early Monday estimated hog slaughter at 275,000- 300,000 head, compared with 366,000 a week ago.

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