Tyson Foods to close U.S. beef plant as cattle supplies dwindle

Reuters — Tyson Meals will shut a beef plant in Lexington, Nebraska, with about 3,200 workers after U.S. cattle provides dropped to their lowest level in nearly 75 years, the meatpacker stated on Friday.

Provides are anticipated to stay tight for at the very least the subsequent two years, forcing meatpackers like Tyson and rivals JBS USA and Cargill to pay steep costs for cattle to course of into steaks and hamburgers.

Beef prices have set data resulting from low provides and powerful demand, elevating prices for shoppers. U.S. President Donald Trump stated final month that he was working to deliver down beef costs.

Tyson stated it’s going to additionally scale back operations at a beef plant in Amarillo, Texas, to a single, full-capacity shift, affecting about 1,700 staff. The corporate will improve manufacturing at different amenities to fulfill buyer demand, in accordance with an announcement.

“Tyson Meals acknowledges the influence these choices have on staff members and the communities the place we function,” the assertion stated.

— Reporting by Tom Polansek