More Labour Disruptions Loom at Cargill

Labour Disruptions Loom at Cargill’s Calgary Facility Following Strike Vote

The Cargill meat processing industry is once again in the spotlight as a second facility, this time in Calgary, faces the possibility of a labor disruption. Following a unanimous strike vote on June 10 by union employees represented by the United Food and Commercial Workers (UFCW) Local 401, the stage is set for what could be a significant confrontation between workers and management at the Calgary Case Ready plant.

Unanimous Strike Vote: A Show of Solidarity

On June 10, UFCW 401 members at the Calgary Case Ready plant, a further processing facility, made a decisive statement by voting 100% in favor of a strike. This overwhelming show of solidarity underscores the seriousness of the workers’ demands and the potential impact of their actions.

Chris O’Halloran, executive director for UFCW Local 401, emphasized the strategic importance of this vote. “Secondary picketing at the retail stores will be the action that will put the most pressure on Cargill to give workers a fair contract offer that addresses their needs,” O’Halloran stated. “It is also the most fun part of picketing.”

The Power of Secondary Picketing

If a work stoppage occurs, union members plan to engage in secondary picketing at retail stores that carry Cargill meat products, including major chains like Wal-Mart, Safeway, and Superstore. This tactic aims to amplify the pressure on Cargill by disrupting its distribution channels and raising public awareness about the workers’ grievances.

A Strike for Affordability

At the heart of the dispute is the issue of wages. The union argues that higher wages are necessary to keep pace with the rapidly increasing cost of living. “We have bargaining dates scheduled with the company, but there is a very real possibility that we will ultimately go on strike,” the union’s website states.

This potential strike is being framed by the union as the “first affordability crisis strike,” which they believe could set a precedent for future labor disputes across various workplaces, including Safeway, Superstore, JBS, Olymel, and Cargill’s High River plant.

Upcoming Bargaining Sessions

Further bargaining sessions between the union and Cargill management are scheduled for June 20 and 21. These talks will be critical in determining whether a strike can be averted or if the Calgary Case Ready plant will join the growing list of Cargill facilities experiencing labor disruptions.

Ongoing Strike in Guelph

The situation in Calgary is not isolated. Workers at Cargill’s Guelph beef slaughter facility have been on strike since May 27, 2024. This plant, the largest beef cattle processor in Ontario, processes 1,500 heads of cattle per day and employs over 950 workers. The ongoing strike at Guelph highlights the broader challenges Cargill faces with its workforce across multiple locations.

Broader Implications

The potential strike in Calgary, combined with the ongoing strike in Guelph, signals a broader unrest within Cargill’s workforce. The demands for higher wages to combat rising living costs reflect a growing frustration among workers who feel their needs are not being adequately addressed by the company.

The implications of these labor disputes extend beyond Cargill. They could influence labor relations and contract negotiations in the food processing industry at large. The union’s focus on making this an “affordability crisis strike” suggests a strategic shift towards framing wage disputes within the broader context of economic justice and workers’ rights.

The Role of Retail Giants

Secondary picketing at retail giants such as Wal-Mart, Safeway, and Superstore is not just a tactic to pressure Cargill but also an attempt to draw these major retailers into the dispute. By picketing at these locations, the union hopes to leverage consumer support and create additional pressure points for negotiations.

Conclusion: A Precedent-Setting Moment

As the June 20 and 21 bargaining dates approach, all eyes will be on the negotiations between UFCW Local 401 and Cargill management. The outcome of these talks could set a significant precedent for future labor disputes, not just within Cargill but across the broader food processing and retail industries.

The potential strike at the Calgary Case Ready plant, coupled with the ongoing strike in Guelph, highlights the critical importance of addressing workers’ demands in an era of rising living costs. As workers and management prepare for a potential showdown, the broader implications for labor relations in Canada continue to unfold.

Related: Workers Strike at Cargill Meat Plant

Source: Real Agriculture

Market News: Includes Avian Flu, Beef Import/Export Stats, Cheese Market Growth & Norways Seafood Surge

Meat Industry News

WHO Reclassifies Macrolides: Implications for Antibiotic Use

The World Health Organization (WHO) has reclassified macrolides from highly important (HP-CIA) to critically important antibiotics (CIA), posing potential risks to antibiotic stewardship in agriculture. While efforts to reduce antibiotic use in food-producing animals have shown positive results globally, the reclassification might lead to increased use of macrolides, which remain critical for treating diseases. This shift in classification emphasizes the need for continued vigilance in antibiotic use to prevent resistance and ensure the effectiveness of these vital drugs.

Avian Influenza Outbreak and Its Impact

The current avian influenza outbreak poses a significant threat to the egg industry, with recent detections in Iowa and beyond. The USDA has implemented strategies to manage the virus within poultry herds, including mandatory testing and financial incentives for improved biosecurity. The outbreak’s severity has led to extensive flock losses, highlighting the critical need for stringent biosecurity measures to protect the industry and support affected farmers in recovery.

China Blocks Beef Shipments from Two U.S. Facilities

China has blocked beef shipments from two U.S. facilities, Swift Beef Company in Greeley, Colorado, and Cool Port Oakland in Oakland, California. The delisting, effective May 27, is reportedly due to traces of ractopamine found in beef from the Greeley plant, according to JBS, the world’s largest meat processor. JBS is cooperating with U.S. and Chinese authorities to resolve the issue. No other JBS beef plants in the U.S. have been affected. Ractopamine is a controversial feed additive used to promote lean muscle growth in animals but is banned in many countries, including China, due to food safety concerns. In conjunction with the JBS suspension, the USDA also reported that meat and poultry products originating from Cool Port Oakland, a major hub for storing and shipping perishable goods, were barred from export to China effective May 27.

China Lifts Ban on More Aussie Beef Exporters, Allows Some Russian Beef Imports

China has lifted bans on imports from five major Australian beef processing facilities, according to the Australian government. Restrictions have been removed for eight Australian beef plants, while two are still banned from making shipments. China was Australia’s second-biggest beef export market last year, receiving 240,000 MT worth around $1.6 billion, according to Australian trade data. Additionally, China will allow imports of Russian beef from cattle under 30 months of age and permit shipments of by-products including frozen beef tendons and hoofs, stomach, and cartilage.

ASF in Germany and Global Pork Trade

Germany confirmed a case of African swine fever (ASF), impacting global pork trade as China maintains its import ban on German pork. This ongoing issue highlights the need for stringent biosecurity measures and international cooperation to manage disease outbreaks. The ripple effects of ASF are being felt across the global supply chain, with significant economic implications for exporters and importers alike.

US Pork Exports Reach Record High

US pork exports reached a record high in April, the highest volume and value in nearly three years, according to data from the USDA and the US Meat Export Federation (USMEF). Pork exports totaled 277,910 tonnes in April, up 14% from a year ago and the fifth largest on record. Export value jumped 18% from a year ago to $778.8 million, equating to $72.46 per head slaughtered, 7% higher than last year.

April Beef Shipments Reach Highest Levels Since June 2023

Mexico’s imports surged, contributing to these highs. April beef shipments totaled 111,580 tonnes, marking a slight increase from last year and the largest volume since June 2023. The export value increased by 5% to $898.7 million, also the highest since June. Shipments to Mexico achieved their highest value in over three years. The USMEF highlighted that a severe drought and surging corn imports led Mexico to export more feeder cattle to the U.S. and import more U.S. beef. Exports to other Western Hemisphere markets, Japan, and the Middle East also increased year-over-year.

Argentine Exports Beef to Hungary for the First Time

The Argentine Foreign Ministry announced a significant milestone in trade relations with Hungary: the first direct export of chilled Argentine beef to the Hungarian market. This achievement was a result of collaboration between the Ministry of Foreign Affairs, International Trade and Worship, the Secretariat of Bioeconomy of the Nation, and SENASA. The shipment included select cuts such as loin, wide steak, and heart of rump, facilitated by a partnership between Winehub and MUGE, with support from the Argentine Embassy in Hungary. This new trade route strengthens Argentina’s presence in the European market.



Dairy Industry News

H5N1 Virus Detected in Iowa Dairy Herd

A case of H5N1 avian influenza was detected in an Iowa dairy herd, marking a significant development in the spread of the virus. The USDA’s strategy involves containing the virus within infected herds until it dissipates naturally, with additional measures to prevent further spread. This detection underscores the importance of ongoing vigilance and proactive measures to safeguard dairy herds and maintain public health.

USDA Proposes Bulk Testing of Milk for Avian Influenza

The USDA is proposing to allow bulk testing of milk, rather than testing milk from individual cows, before approving shipments. This proposal follows a requirement from late April that lactating cows test negative for highly pathogenic avian influenza (HPAI) before being transported across state lines. A pilot program for bulk testing could start in June, with officials in six states reviewing the plan. The International Dairy Foods Association (IDFA) supports the initiative, stating it could help reduce the threat of H5N1 in dairy herds, protect farm workers, and secure the milk supply. Farmers favor bulk testing as it is more efficient for large herds.

Global Cheddar Cheese Market Set for Rapid Growth, Forecast to Reach $133.1 Million by 2030

The global cheddar cheese market is poised for substantial growth, with projections showing an increase from $84 million in 2023 to $133.1 million by 2030, reflecting a 6.8% CAGR. This growth is driven by flavor innovation, health-conscious consumer trends, and e-commerce expansion.

Brazil’s Dairy Trade Balance Improves as Imports Decline and Exports of Key Products

In May 2024, Brazil’s dairy trade balance showed significant improvement as imports dropped sharply and exports of key products increased, according to the Foreign Trade Secretariat (SECEX). The trade balance deficit narrowed to 142 million liters in milk equivalent, an improvement of 43.5 million liters from April.



Seafood Industry News

Norway’s Seafood Exports Surge

Norway’s seafood exports soared to new heights in May, reaching NOK 14 billion, marking an 8% increase compared to the same period last year. This substantial growth was primarily driven by the increased export volumes and prices of salmon and trout, according to Christian Chramer, CEO of the Norwegian Seafood Council. Salmon, as the largest and most significant species, surpassed NOK 10 billion in export value for the first time in May. This achievement was fueled by a growth in volume for the first time in 2024, contributing to the record-high export value. Furthermore, there was a notable increase in the export of fresh and frozen fillets, with fresh fillet exports witnessing a 40% increase and frozen fillet exports up by 13%.

Trout also had a historic month, with its export value reaching an all-time high in May. Despite accounting for only 5% of the total value of farmed salmonids, trout saw significant growth, with its value increasing by 65% compared to the same period last year. While salmon and trout thrived, other species faced challenges. Cod, for instance, experienced a decline in export volume for both fresh and frozen products. However, price growth for several fresh, frozen, and conventional cod products helped compensate for this decline. In terms of markets, the European Union (EU) played a crucial role, with three EU countries—Spain, Portugal, and the Netherlands—experiencing the highest growth in May. Spain, in particular, saw a 25% increase in export value, driven by strong domestic consumption and a resurgence in tourism.

Looking at the overall trend for the year, Norway has exported seafood worth NOK 68.5 billion so far, indicating a 2% increase compared to the same period last year. This growth, despite economic challenges, reflects the continued demand for Norwegian seafood globally. The future looks promising for Norwegian seafood exports, with ongoing developments in trout and the steady performance of salmon. These factors, along with the resilience of the industry in challenging times, bode well for the continued success of Norway’s seafood sector on the international stage.

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LDC to Acquire Cargill’s Polish Poultry Brand

Introduction

On June 7, 2024, French agri-food company Lambert Dodard Chancereul (LDC) revealed its plans to acquire Cargill’s Konspol brand and its production plant located in Nowy Sacz, Poland. This strategic move is expected to bolster LDC’s position in the international market and expand its product offerings. The transaction is anticipated to be completed by the end of 2024.

Financials and Background

While the financial details of the deal were not disclosed, LDC shared that the Nowy Sacz plant achieved a consolidated turnover of €35 million ($38 million) last year. This acquisition aligns with LDC’s ongoing strategy to broaden its international presence and diversify its product range.

Strategic Expansion

LDC’s acquisition of Konspol is a significant step in the company’s international expansion strategy. The integration of the Konspol brand and its facilities will enable LDC’s subsidiary, Drosed Group, to penetrate the ready meals market. This includes products such as breaded items, burgers, sandwiches, tortillas, and gyozas. This move is expected to enhance LDC’s competitive edge in the convenience food segment.

Company Overview

LDC is a major player in the agri-food industry, operating 102 facilities and employing approximately 25,000 people. The company boasts an impressive turnover of €6.2 billion ($6.7 billion). Specializing in poultry and fresh and frozen ready meal products, LDC’s operations span across several countries including France, Poland, Hungary, Belgium, and the United Kingdom.

Cargill’s Journey with Konspol

Cargill initially acquired Konspol in 2018, aiming to strengthen its presence in the European poultry market. Over the years, Konspol has become a valuable asset, contributing significantly to Cargill’s poultry business. The Nowy Sacz plant has been instrumental in producing high-quality poultry products that meet the growing demand for convenience foods.

Market Implications

The acquisition of Konspol by LDC is expected to have several market implications. Firstly, it will enhance LDC’s product portfolio, allowing it to offer a wider range of ready meal products to its customers. Additionally, it will provide LDC with a stronger foothold in the Polish market, which is known for its robust poultry industry.

Future Prospects

Looking ahead, LDC plans to leverage the strengths of the Konspol brand and its production capabilities to drive growth in the ready meals segment. The company aims to capitalize on the increasing consumer demand for convenient and high-quality food products. By integrating Konspol’s offerings with its existing product lines, LDC is well-positioned to expand its market share and deliver greater value to its customers.

The acquisition of Cargill’s Konspol brand and plant by LDC marks a significant milestone in the company’s growth journey. This strategic move not only aligns with LDC’s international expansion goals but also reinforces its commitment to meeting the evolving needs of consumers. As the deal is set to finalize by the end of 2024, LDC is poised to strengthen its position in the agri-food industry and drive future success.

Industry Reactions

Industry experts have largely viewed the acquisition as a positive development for LDC. It is seen as a strategic move that will enhance the company’s competitive position in the European market. The addition of Konspol’s facilities and expertise is expected to bring synergies that will benefit LDC’s overall operations and product offerings.

Additional Insights

The acquisition also underscores the growing trend of consolidation in the agri-food industry. As companies seek to enhance their market presence and operational efficiencies, strategic acquisitions have become a common approach. For LDC, this acquisition represents an opportunity to further solidify its market leadership and continue its trajectory of growth and innovation.

Conclusion

In summary, LDC’s acquisition of Cargill’s Konspol brand and plant is a strategic move that aligns with the company’s long-term goals of international expansion and product diversification. With the deal set to close by the end of 2024, LDC is well-positioned to enhance its market presence and continue delivering high-quality food products to consumers across Europe.

This acquisition not only reinforces LDC’s commitment to growth but also highlights the company’s strategic vision and adaptability in the ever-evolving agri-food industry. As LDC integrates Konspol into its operations, the company is poised for a new phase of growth and success, benefiting both its customers and stakeholders.

Related: Cargill Targeted In Pollution Claim & Archived: Uncovering a Billion-Dollar Cargill & LDC Fraud

Source: Meatpoultry

Smithfield Foods to Acquire Dry Sausage Facility from Cargill

Introduction

Smithfield Foods has announced a definitive agreement to acquire a dry sausage production facility in Nashville, Tennessee, from Cargill. This acquisition aims to bolster Smithfield’s capacity in the value-added packaged meats segment, particularly in high-demand products like pepperoni, deli, charcuterie, and dry sausage.

Strategic Growth

This acquisition supports Smithfield’s strategic growth in the value-added packaged meats sector. By increasing its production capacity, Smithfield aims to meet the rising consumer demand for high-quality meat products. The Nashville facility will play a crucial role in enhancing Smithfield’s dry sausage brands, including Margherita, Carando, and Armour, by adding an impressive 50 million pounds of production capacity annually.

Employment Opportunities

As part of the acquisition, Smithfield will offer jobs to approximately 160 employees currently working at Cargill’s Nashville facility. These employees will maintain their current positions and base pay, ensuring a smooth transition and continuity in operations.

Leadership Insight

Steve France, President of Packaged Meats for Smithfield Foods, emphasized the significance of this acquisition for the company’s growth strategy. He stated, “This transaction is a testament to our continued focus on growing our packaged meats business by staying ahead of and delivering on our customers’ preferences. Dry sausage is one of our fastest-growing categories, and acquiring this facility from Cargill will better position us to improve sales, drive volume, and increase our capacity to bring high-quality dry sausage products to the foodservice, industrial, and retail sectors. We look forward to serving this facility’s existing customers and welcoming a new group of team members to Smithfield Foods.”

Market Impact

The acquisition is expected to have a positive impact on Smithfield’s market presence. By expanding its production capacity, Smithfield can better serve its customers across various sectors, including foodservice, industrial, and retail. This move also aligns with the growing consumer preference for high-quality, value-added meat products.

Transaction Details

While the financial terms of the agreement were not disclosed, the transaction is anticipated to close by the end of July 2024, subject to customary closing conditions. This acquisition marks a significant step for Smithfield Foods as it continues to expand its footprint in the packaged meats industry.

Enhanced Production Capacity

The Nashville facility will significantly enhance Smithfield’s production capabilities. With an additional 50 million pounds of capacity, Smithfield can better meet the increasing demand for its dry sausage products. This expansion will not only drive sales but also ensure a consistent supply of high-quality products to its customers.

Smithfield Foods’ acquisition of Cargill’s dry sausage facility in Nashville represents a strategic move to strengthen its position in the value-added packaged meats segment. By increasing production capacity and retaining the facility’s workforce, Smithfield is well-positioned to meet the growing demand for high-quality dry sausage products. The completion of this transaction will mark a new chapter in Smithfield’s growth story, enhancing its market presence and ability to serve a diverse customer base.

Industry Reactions

Industry experts view this acquisition as a strategic move that aligns with Smithfield’s growth objectives. The increased production capacity will allow Smithfield to capitalize on the growing consumer demand for high-quality dry sausage products. Additionally, retaining the existing workforce ensures operational continuity and expertise, which is crucial for maintaining product quality and meeting customer expectations.

Future Prospects

Looking ahead, Smithfield plans to leverage the expanded capacity to drive growth in the value-added meats segment. The company aims to enhance its product offerings and expand its market reach, catering to the evolving preferences of consumers. With the acquisition of the Nashville facility, Smithfield is poised for sustained growth and success in the competitive packaged meats industry.

Conclusion

In summary, Smithfield Foods’ acquisition of Cargill’s dry sausage facility is a strategic move that enhances its production capacity and market presence. By integrating the Nashville facility into its operations, Smithfield is well-equipped to meet the growing demand for high-quality dry sausage products. This acquisition underscores Smithfield’s commitment to growth and excellence in the packaged meats industry, setting the stage for continued success and innovation.

Related: EEOC Lawsuit Against Smithfield Foods & Workers Strike at Cargill Meat Plant

Source: Foodbev

Saputo to Close Six US Facilities

Canadian dairy giant Saputo has announced plans to shutter six of its U.S. facilities by early 2025, as part of its ongoing efforts to optimize operations and reduce costs. This decision was detailed in a post-Q4 results call by Chief Operating Officer Carl Colizza.

Details of the Closures

Saputo has already closed its Belmont, Wisconsin, and Big Stone, South Dakota, facilities. The previously announced closures of the Lancaster, Wisconsin, plant and the Bardsley facility in Tulare, California, are expected to be completed by the end of the first quarter. Additionally, the company will close its facilities in Green Bay, Wisconsin, and South Gate, California.

The total number of jobs affected by these closures has not been disclosed.

Operational Optimization

Colizza explained that these closures are part of a strategy to reduce duplicate costs and enhance efficiency within Saputo’s network. The consolidation efforts will focus on optimizing the Franklin, Wisconsin facility, which will absorb the operations from the closing sites.

Saputo is also engaged in several capital projects to support its growth in the U.S., including establishing new facilities and expanding capacity for key product categories. These projects include a new automated cut-and-wrap facility in Franklin, which is expected to be fully operational in the coming months.

Financial Performance and Future Plans

In a statement accompanying the Q4 results, CEO Lino Saputo, who will step down in August, highlighted the company’s resilience despite a challenging macro-economic environment characterized by commodity price volatility, a struggling consumer base, and ongoing inflationary pressures.

Saputo reported revenues of C$4.54 billion for the quarter ending March 31, marking a 1.7% increase year-on-year. However, adjusted EBITDA decreased from C$392 million to C$379 million, and net earnings dropped from C$159 million to C$92 million. For the full fiscal year, revenues were C$17.34 billion, down from C$17.84 billion the previous year. Adjusted EBITDA fell from C$1.55 billion to C$1.50 billion, and net earnings plummeted from C$622 million to C$265 million.

Strategic Investments

Despite the closures, Saputo continues to invest in its global network. CEO Lino Saputo emphasized that fiscal 2024 was a year of significant progress, with major capital projects under the Global Strategic Plan nearing completion and several facilities ramping up commercial production.

When asked about the financial impact of these initiatives, Colizza noted that previously announced initiatives in the U.S. are expected to generate close to C$100 million in savings by the end of fiscal 2025, out of a total of C$200 million in planned savings.

Challenges in the Australian Market

In addition to its U.S. operations, Saputo has faced challenges in its Australian dairy division. The company booked a loss in the third quarter due to a C$265 million impairment charge related to this division.

Conclusion

Saputo’s decision to close six U.S. facilities reflects its broader strategy to streamline operations and reduce costs amidst challenging economic conditions. The company remains focused on optimizing its global network and investing in growth initiatives to sustain its competitive edge in the dairy industry.

Read: Top 10 Australian Dairy Companies

Pilgrims Pride Factory Closure – 270 Jobs at Risk

Pilgrim’s Pride, through its unit Pilgrim’s Europe, has announced plans to shut down its snacking products factory in Spurway, West London, a move expected to impact 270 employees.

Job Reductions Across All Levels

A spokesperson for Pilgrim’s Europe told Just Food that positions “at all levels” are at risk of redundancy. This decision is part of the company’s ongoing review of its operational footprint to ensure that its sites are fully optimized, securing a sustainable future for the business and its employees.

Negotiations with union representatives are anticipated to commence soon, with the company exploring opportunities for relocating affected employees to other Pilgrim’s Europe sites.

Commitment to Quality and Service

The spokesperson emphasized Pilgrim’s Europe’s dedication to maintaining its 30-year heritage and capability to deliver high-quality food solutions and best-in-class service to its customers. Despite the closure, the company remains committed to investing in its operations.

The Spurway facility specialized in producing snacks for the UK retail market, including products like cocktail sausages and scotch eggs. Just Food has reached out to the Moy Park brand owner to confirm the size of the Spurway site and the expected closure date.

Recent Layoffs and Union Concerns

Earlier this year, Pilgrim’s Food Masters, another division of the US-based meat giant, announced plans to close another UK factory, affecting 260 employees. Workers at that facility were represented by the British trade union GMB, which organized a 45-day consultation period to discuss the implications of the job losses.

GMB senior organizer Gavin Davies expressed serious concerns about the impact of these layoffs on members and the local community. In March 2023, the union highlighted threats to 1,000 employees at another UK site, who faced losing paid breaks, reduced sick pay, and the removal of Diwali holiday pay. Pilgrim’s Food Masters eventually withdrew these threats following union intervention.

Economic Challenges

The decision to close the Spurway site comes amid challenging economic conditions. Pilgrim’s Food Masters cited “difficult headwinds” and the “inflationary environment” as reasons for closing another site in Southall last year, which resulted in over 200 job losses.

Conclusion

Pilgrim’s Pride’s decision to close the Spurway snacks facility is a significant development, impacting 270 employees and reflecting broader economic challenges. The company’s efforts to optimize its operations and sustain its business underscore the difficult decisions faced by many in the current economic climate.

More News: Pilgrim’s Pride Immigrant Workers Struggle

Source: Just-Food

Miratorg Announces €1 Billion Slaughterhouse

Introduction

Miratorg, Russia’s leading pork producer, has announced the commencement of construction on the country’s largest slaughterhouse. This ambitious project, estimated to cost €1 billion, will have the capacity to process 4.5 million pigs annually. The move underscores Russia’s ongoing efforts to bolster its agricultural self-sufficiency following the 2014 EU import ban.


Project Details and Capacity

The new slaughterhouse marks a significant expansion for Miratorg, which is owned by the Linnikov brothers, Russia’s most prominent farmers. Known for their vast interests in pork, beef, dairy, and tillage, the Linnikov brothers have made substantial contributions to Russia’s agricultural output. In the first half of 2017 alone, Miratorg produced over 154,900 tonnes of pork.

The facility, once completed, will dramatically increase Miratorg’s production capacity. By the end of the first phase in 2021, the company’s total meat output is expected to reach approximately 1.1 million tonnes annually. This figure is comparable to Ireland’s entire meat production for 2015, highlighting the scale of Miratorg’s operations.


Context of the EU Import Ban

The impetus for this significant investment stems from the Russian Federation’s 2014 ban on agricultural imports from the European Union. This ban prompted a concerted effort by Russian agri-businesses to fill the void left by EU food imports. Miratorg’s latest venture is part of a broader strategy to achieve national self-sufficiency in food production by 2020.


Government Support and Strategic Vision

The construction of the slaughterhouse is partly funded by the Russian government, demonstrating state support for the agricultural sector’s expansion. Miratorg’s vision aligns with national goals of self-sufficiency, particularly in light of the EU import ban. Earlier this year, Ciarán Lenehan, a beef livestock specialist with the Irish Farmers Journal, visited one of Miratorg’s 200,000 cow feedlots. Lenehan reported that Miratorg aims to develop an American-style ranch system for beef production, already owning 65 beef ranches covering 1.3 million acres.


Projected Output and Industry Impact

Miratorg’s projected total meat output for 2017 is estimated to reach 700,000 tonnes. The new slaughterhouse will significantly enhance this figure, reinforcing Miratorg’s position as a dominant player in the Russian meat industry. This development is expected to not only meet domestic demand but also position Russia as a potential meat superpower.


Future Prospects and Industry Implications

The completion of this slaughterhouse represents a pivotal step for Miratorg and the broader Russian meat industry. As Russia continues to strive for agricultural self-sufficiency, Miratorg’s expansion efforts will likely set a precedent for other companies in the sector. The substantial increase in production capacity will also have implications for global meat markets, potentially altering trade dynamics and competitive landscapes.


Conclusion

Miratorg’s €1 billion investment in the new slaughterhouse underscores the company’s commitment to expanding its production capabilities and supporting Russia’s goal of food self-sufficiency. With the capacity to process 4.5 million pigs annually, this facility will be a cornerstone of Russia’s agricultural strategy, bolstering the country’s meat production and enhancing its position in the global market. As construction progresses, all eyes will be on Miratorg to see how this ambitious project transforms the Russian meat industry.

Read: Russian Pork Export to China


For more information, visit Miratorg.

Tyson Foods Under Fire for Alleged Discriminatory Hiring Practices

Introduction

Tyson Foods, one of the largest meatpackers in the United States, faces allegations from America First Legal (AFL), a conservative group founded by former Trump administration officials. The group claims that Tyson is discriminating against U.S. citizens by favoring immigrants, including undocumented individuals and children, in its hiring practices. This has sparked calls for investigations by several governmental agencies.


Accusations and Calls for Investigations

America First Legal sent letters to the U.S. Department of Justice, the Equal Employment Opportunity Commission (EEOC), and an Iowa civil rights agency, urging them to investigate Tyson Foods’ employment practices. AFL alleges that Tyson employs 42,000 foreign workers, accounting for more than one-third of its U.S. workforce, and participates in programs aimed at recruiting even more immigrant labor.

The letters point out that more than half of all meatpacking workers in the U.S. are immigrants, compared to approximately 17% of the overall U.S. workforce, based on data from the Center for Economic and Policy Research. AFL claims Tyson has exploited the recent surge in illegal border crossings to build a pool of cheap labor.

Related: Is Tyson Foods Favouring Migrants Over US Workers?


Leadership and Legal Context

AFL is led by Stephen Miller, a former senior adviser to President Donald Trump known for his stringent immigration policies. Matthew Whitaker, former Acting U.S. Attorney General, serves on AFL’s board, and several staff lawyers previously worked at the Trump-era Justice Department.

In its complaint, AFL references a recent case where a major food sanitation company, contracting with Tyson and other meat processors, paid $1.5 million in penalties for employing minors in hazardous jobs. Some of these children worked at Tyson plants, though Tyson itself was not implicated in the wrongdoing.


Legal and Social Implications

AFL contends that Tyson’s hiring practices violate federal and Iowa laws prohibiting discrimination based on citizenship status, race, national origin, and other protected characteristics. The group argues that Tyson’s actions represent a clear bias against American workers, favoring immigrants to reduce labor costs.

Tyson Foods has not responded to requests for comment. However, in March, the company refuted similar claims circulating on social media, stating: “Any insinuation that we would cut American jobs to hire immigrant workers is completely false.”

The Justice Department, the EEOC, and the Iowa agency are not required to respond to AFL’s complaints or initiate investigations. If they do decide to investigate and find merit in the claims, they could seek to negotiate a settlement with Tyson or pursue legal action against the company.


AFL’s Broader Agenda

America First Legal has a history of filing complaints against major U.S. companies, primarily focusing on accusations that diversity policies discriminate against men, white, Asian, and heterosexual workers. This complaint against Tyson Foods is notable as it appears to be the first involving claims of bias against American workers in favor of immigrants.

To date, the EEOC has not indicated whether it is investigating AFL’s complaints. AFL’s push against Tyson Foods could be part of a broader strategy to challenge corporate diversity and inclusion practices, framing them as discriminatory against certain groups.


Industry and Economic Impact

The allegations against Tyson Foods highlight broader concerns within the meatpacking industry, where immigrant labor is prevalent. The industry’s reliance on immigrant workers has been a point of contention, especially during times of increased scrutiny on immigration policies and labor practices.

Tyson Foods, headquartered in Arkansas, is a significant player in the U.S. meatpacking sector. The company’s employment practices and the recent accusations could impact its operations and reputation. As investigations potentially unfold, Tyson may face legal and financial repercussions, depending on the outcomes of any probes.


Conclusion

The accusations by America First Legal against Tyson Foods underscore ongoing tensions around immigration, labor practices, and corporate responsibility in the U.S. meatpacking industry. As governmental agencies consider whether to investigate these claims, the situation at Tyson Foods serves as a critical case study in the complex interplay between immigration policies and labor market dynamics. The outcome of this dispute could have significant implications for Tyson Foods and the broader industry, shaping future employment practices and regulatory approaches.

Source

Sanderson Farms AI Chicken Chatbot “Sandy”

Introduction

Imagine having an expert on hand to offer meal ideas and cooking tips for that fresh chicken in your fridge. Wayne-Sanderson Farms has made this a reality with the debut of its revolutionary AI Chicken ChatBot, affectionately known as “Sandy.” Powered by OpenAI’s API for ChatGPT, Sandy is ready to assist customers with everything from recipes to serving suggestions on the Sanderson Farms website.


Meet Sandy: Your New Culinary Companion

“We are excited to introduce Sandy, the first-ever chicken chatbot tool designed to answer virtually any question related to chicken recipes and cooking tips,” said Hilary Burroughs, Vice President of Marketing for Wayne-Sanderson Farms. “We hope consumers find Sandy to be polite, witty, and helpful, just like a good friend discussing all things chicken.”

When users visit the Sanderson Farms website, they are prompted to start a chat with Sandy, who can provide delicious chicken recipes tailored to specific dietary needs and preferences, such as gluten-free, Keto, and low-fat. Sandy is also adept at suggesting meal ideas for picky eaters, creative ways to use leftovers, and introducing international cuisines.


Innovative AI Enhancing Customer Experience

“For over 70 years, Sanderson Farms has been committed to delivering good, honest chicken. From healthy and affordable recipes to straightforward labels on our packaging, we continually seek to add value for our consumers,” Burroughs explained. “Leveraging innovative artificial intelligence technology is another way for us to connect with home cooks and empower them in the kitchen.”


A Tradition of Quality and Transparency

Sanderson Farms, a brand under Wayne-Sanderson Farms, the nation’s third-largest poultry producer, prides itself on offering 100% natural chicken. This means no added steroids, hormones, salt, broth, or preservatives—just pure chicken. All Sanderson Farms’ chickens are hatched, raised, and harvested in the USA, maintaining a tradition of quality and transparency.


The Future of Cooking with Sandy

The introduction of Sandy marks a significant milestone in Wayne-Sanderson Farms’ mission to enhance the online customer service experience. By integrating AI technology, the company aims to provide customers with an interactive and intuitive way to discover new recipes and cooking tips. Sandy’s ability to offer personalized recommendations based on user inputs ensures that every meal is tailored to meet individual preferences and dietary requirements.


Connecting with Home Cooks

Sandy is more than just a chatbot; it represents Wayne-Sanderson Farms’ dedication to connecting with their customers in meaningful ways. By providing a tool that can engage with users on a personal level, the company enhances the overall cooking experience. Whether you’re a seasoned cook or a novice in the kitchen, Sandy is designed to assist and inspire.


User-Friendly and Accessible

The AI Chicken ChatBot is designed to be user-friendly and easily accessible. Simply visit the Sanderson Farms website, start a chat with Sandy, and begin exploring a world of culinary possibilities. Sandy’s intuitive interface and vast knowledge base make it an invaluable resource for anyone looking to elevate their chicken dishes.


Empowering Home Cooks

At its core, Sandy aims to empower home cooks by providing them with the tools and knowledge needed to create delicious and healthy meals. By leveraging AI technology, Wayne-Sanderson Farms ensures that their customers have access to expert advice and creative inspiration at their fingertips.


Conclusion

With the launch of Sandy, Wayne-Sanderson Farms sets a new standard in the poultry industry, combining tradition with innovation. This AI-powered chicken chatbot not only enhances customer service but also reaffirms the company’s commitment to quality and customer satisfaction. Visit the Sanderson Farms website today and let Sandy help you discover your next favorite chicken recipe.

More News: Perdue & Sanderson Settles Chicken Price-Fixing Cases

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Pilgrim’s Pride Immigrant Workers Struggle

Introduction

Moorefield, a small town in West Virginia’s Potomac Highlands, is known as the “Poultry Capital” due to its largest employer, Pilgrim’s Pride. For thousands of immigrant workers, the promise of employment at this poultry plant has been both a lifeline and a source of profound hardship. These workers face significant challenges, including finding affordable housing, paying rent, and navigating complex immigration and benefits systems.


Tatiana’s Story: A Harrowing Journey

In 2020, Tatiana faced a heart-wrenching decision: stay in Honduras, a country plagued by poverty, or take a risky journey to the United States. A Honduran man living in Moorefield offered her a lifeline, promising work for undocumented immigrants and financial support for her and her child. Tatiana chose to make the arduous 15-day trip to Moorefield, hoping to secure a better future for her children.

Shortly after arriving, Tatiana began working on the production lines at Pilgrim’s Pride’s chicken factory. Despite the plant’s desperate need for workers, Tatiana’s situation soon turned dire. The man who had helped her became violent, forcing her and her daughter into homelessness. “My daughter would cry a lot,” Tatiana recalls. “She questioned why we came to the United States if she was happy in Honduras.”


Systemic Challenges for Immigrant Workers

For three decades, immigrants like Tatiana have come to Hardy County to work for Pilgrim’s Pride. The company benefits from their labor, often listing new immigration legislation or enforcement as potential threats to its business operations. However, the support system for these workers is severely lacking.

Many newcomers arrive with high hopes, only to find limited access to affordable housing, adequate interpretation services, and financial assistance. Moises Saravia, an immigrant from El Salvador and a pastor of a Spanish-speaking church, notes, “Every year, it’s more problems, more problems.”


Pilgrim’s Contributions and Local Realities

Pilgrim’s Pride has made several charitable contributions to Moorefield, including nearly $1 million for local projects like a daycare facility, an indoor recreation center, and an apartment complex near the factory. Despite these investments, the company’s support often falls short. Pilgrim’s charges workers high rents, often exceeding federal fair market rates, exacerbating the housing crisis for its employees.

Local government programs and nonprofits have tried to bridge the gap, but they face significant challenges. Limited funds and the need to communicate with people who speak over a dozen languages hinder their effectiveness. “There’s a lot of things with the immigrant community that we don’t have a real good handle on,” admits David Workman, Hardy County Commission president.


Struggles Beyond the Factory

Former and current immigrant workers frequently go without benefits they qualify for or medical treatment they need. Tatiana, once a government worker in Honduras, found herself homeless and struggling to navigate the complexities of U.S. aid systems. “I honestly don’t know what I can apply for,” she says.

Katy Lewis, a senior attorney with Mountain State Justice, highlights the difficulty immigrants face in understanding U.S. immigration laws and available aid. “Our immigration system is so complicated,” she explains. Erika Perez, a permanent resident from Peru, faced similar challenges, struggling for months to renew her food assistance due to language barriers.


Community Efforts and Persistent Gaps

Saravia, the Salvadorian pastor, witnesses these struggles daily among his congregation. He took on additional responsibilities, from finding funding for a food bank to driving members to distant appointments. This schedule took a toll on his health, ultimately forcing him to leave his job at Pilgrim’s Pride.

The turnover at the factory is high, with about 500 employees quitting or being fired in the first half of 2023. This instability leaves many immigrants struggling to find alternative employment, as most local jobs require English proficiency.


The Need for Greater Support

Moorefield’s community, including the Hardy County School District and local nonprofits, strives to support immigrant families. Pilgrim’s Pride contributes to some initiatives, but the need far outweighs the help provided. For instance, the district employs only four English learner teachers for a growing population of immigrant students.

Organizations like the Eastern Regional Family Resource Network also struggle to meet basic needs with limited budgets. Joanna Kuhn, the network’s director, suggests that consistent monthly donations from Pilgrim’s could significantly improve their ability to support immigrant families.


A Call for Fairness and Equality

Anthropology professor Angela Stuesse underscores the broader issue: companies profiting from immigrant labor without adequately supporting their well-being. “The problem isn’t having these new neighbors,” she says. “It’s the fact that somebody is profiting off of this movement of labor and humans and isn’t contributing what they should be to the well-being of the community.”


Conclusion: The American Dream Questioned

Tatiana continues to believe that staying in the U.S. is the best way to provide for her children, despite the hardships. She sends money to her family in Honduras whenever she can, driven by the hope of a better future for her children. Yet, the challenges she faces in Moorefield make her question the existence of the American Dream.

“You have to separate yourself from those who love you for a plate of food,” she says, reflecting on her journey and the sacrifices she’s made. Her story, like many others, highlights the urgent need for comprehensive support for immigrant workers in Moorefield and beyond.

Read: Pilgrim’s Pride Lawsuit

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