5 July 2022

The biggest beef plant in the US is located in South Dakota, belongs to Tyson Foods and has a daily processing capacity of 7000head of cattle. Now plans are afoot to build an even bigger processing facility, also in South Dakota, that can process 1000 head more than the Tyson plant.

 

Tyson Foods beef processing complex in Dakota City

 

The project belongs to Kingsbury and Associates along with Sirius Realty, will cost ober $1 billion to build, with construction due to start in 2023 and be completed in 2026.


The two companies behind the project are controlled by Megan Kingsbury, who is the fifth generation of a family of US cattle ranchers.


As well as Tyson Foods, JBS, Cargil and National Beef are responsible for 85% of US cattle slaughter and packing, and will represent stiff competition to the Kingsbury plant.


Critics of the project maintain that Kingsbury will face labour shortages when the plant opens as it will need 2500 workers and may also have challenges in establishing a supply chain in the face of the oligopoly that controls the US beef industry.


However, Ms Kingsbury is confident that she will be able to overcome both labour issues and possible animal shortages.


“The new plant will use advanced technology seen in Europe and Asia to process beef with less labour, said Ms Kingsbury. “We have to break the old mentality of the packing plant being a sweatshop,” she asserted.

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