Category: Poultry

TUCKER, GA. — The US Poultry & Egg Association (USPOULTRY) is preparing for the upcoming 2024 Poultry Processor Workshop, held May 15-16 at the Embassy Suites by Hilton Downtown in Nashville, which will cover challenges and strategies for increasing efficiency and effectiveness in poultry processing.

Advancement and change press on at a rapid pace in today’s poultry industry, as new automation and management techniques continue to emerge, USPOULTRY said. As processors search for ways to juggle labor challenges, talent development and plant management, the two-day workshop looks to provide answers.

The Poultry Processor Workshop’s agenda was developed by a program committee of plant managers and food safety and quality assurance professionals. The committee includes Kelly Baker, Maple Leaf Farms; Cris Contreras, Golden Rod Broilers Inc.; Valerie Dahlke, Wayne-Sanderson Farms; Corbett Kloster, Fieldale Farms Corp.; Nicole Reynolds, House of Raeford Farms Inc.; Stephen Snyder, Claxton Poultry Farms; and Matthew Wooten, Wayne-Sanderson Farms.

“This year’s workshop will feature a stellar line up of speakers,” said Matt Wooten, operations manager at Wayne-Sanderson Farms, and program planning committee chair. “Participants will hear from USDA Food Safety and Inspection Service Undersecretary Jose Emilio Esteban, Phd, DVM, and a representative from KFC will provide a company’s perspective on ‘What’s Coming Down the Pike in Animal Welfare.’ In addition, Wayne-Sanderson Farms’ president and chief executive officer Clint Rivers will give his perspective of ‘Leadership: It Starts at the Top.’ With a full slate of high caliber speakers, there truly is something for everyone.”

The program will also address operations challenges. Sessions on the following topics will be covered:

• Statistical Process Control: The How and the Why; Salmonella Reduction
• Workforce Engagement . . . Generational Differences / Navigating a Changing Workforce
• Plant/Process Safety; A Preventive Maintenance Program: One Company’s Success
• Processing Automation Pros and Cons: User Perspective

To view the full agenda, register for the Poultry Processor Workshop and reserve a hotel room, visit the USPOULTRY website.

OKLAHOMA CITY — Following negotiations in the last few months, a mediator was finally chosen in a yearslong poultry lawsuit in Oklahoma over environmental damage to the state’s water by poultry companies, specifically related to the Illinois River watershed and Lake Tenkiller.

US District Judge Gregory Frizzell in the Northern District of Oklahoma stated in the order of mediation that retired 10th Circuit Chief Judge Deanell Reece Tacha will oversee the proceeding going forward.

Oklahoma Attorney General Gentner Drummond requested the order from Frizzell following an impasse with negotiations.

In January, Frizzell ruled in favor of Oklahoma’s arguments of trespassing and public nuisance-related claims regarding several poultry companies that operated in Oklahoma.

Frizzell granted an extension in March but had a status conference scheduled for June 16.

Poultry companies recently included in the decision include Tyson Foods Inc., Cobb-Vantress Inc., Cargill Inc., George’s Farms Inc., Peterson Farms Inc., Simmons Foods Inc. and other Oklahoma subsidiaries.

The case was brought by Oklahoma in 2005 by then-Attorney General Drew Edmondson regarding improper poultry litter disposal.

GARNER, NC. — Butterball LLC will introduce a new look for its portfolio of retail products next month, the first time since 2018. The redesign aims to upgrade consumer shopping experiences through incorporating consistency to the look and feel across all product lines. Easy-to-read labeling, a bright blue design and an interactive QR code will come together to boost shopper engagement with the brand.

“Butterball is always striving to provide a consistent shopping experience for consumers across our different product categories, so achieving that was top of mind for this redesign,” said Rebecca Welch, director of retail and international brand management at Butterball. “We also wanted the packaging to connect to Butterball’s core beliefs that everyone should feel great about what they eat, and that food connects people and gives them an opportunity to show they care. Our research found that we were able to convey these beliefs through the new design, as consumers reported they believe Butterball is a brand that cares and brings people together around high quality, good-for-you food.”

Butterball’s Insights team led the research process to inform the new packaging design. Consumer testing focused on readability, color, visual appeal, illustrations and product photography. The research and testing resulted in blue packaging with food photography and easy-to-read label information. Hand-drawn illustrations with phrases like, “You got this!” adorn the packaging — an expression of Butterball’s human-powered connection with loyal consumers. Research participants reported the unique look appeals to younger consumers and families with children, and overall the design establishes a cohesive master brand look.

“Our redesigned packaging is modern and ownable,” Welch said. “When shoppers see our products, they’ll immediately know it’s Butterball.”

In addition, the ground turkey tray packaging now offers 10% more product visibility to address consumers’ desire for more product visibility and instill confidence in the quality of their purchase. Consumers also can immediately engage with the brand and the specific product they are considering with the packaging’s external QR codes.

“The connected food packaging works harder for us on the shelf than traditional packaging,” said Valerie Saint Sing, consumer packaged goods brand manager at Butterball. “When the QR code is scanned, consumers will land on the specific product’s page at Butterball.com to view recipes, nutritional information, storage instructions and additional product varieties. However, because the QR code is dynamic, we can change the user journey instantly to create a different brand experience based on seasonality, active marketing campaigns and more.”

Butterball’s frozen turkey burgers will be the first to wear the newly designed packaging in August. After frozen turkey burgers, turkey bacon and fully cooked breakfast sausage will hit shelves in their new packaging, followed by fresh, raw products like ground turkey. Seasonal products like fresh and frozen whole turkeys will debut with the new look starting in 2025.

SÃO PAULO — Marfrig Global Foods S.A. is now
the majority shareholder of BRF S.A. after it increased its equity interest in the company.

According to the securities filing dated Dec. 28 from BRF, Marfrig holds 842,165,702 common shares and American Depositary Receipts (ADRs), representing 50.06% of the total issued and outstanding capital of BRF.

Marfrig said it does not look to change the current shareholding composition nor the administrative structure of BRF with this acquisition. Marfrig has not executed any contracts to regulate the exercise of voting rights or the purchase and sale of BRF’s securities.

Before reaching majority ownership, Marfrig consistently added to its stake in BRF.

In May 2021, Marfrig purchased a 24.23% stake in BRF. By September 2023, the company bumped its stake up to 40.05% with 673,879,961 total common shares.

The two Brazil-based processors showed signs of a possible merger in 2019 that never materialized.

ANNAPOLIS, MD. — Within the past week, two additional settlements have been reached in a class-action lawsuit against several poultry processors for alleged wage price-fixing.

Tyson Foods Inc. and its subsidiary Keystone Foods proposed a settlement on Aug. 12 to the US District Court for the District of Maryland. A few days later, on Aug. 16, Amick Farms LLC filed a settlement. The terms of both deals were not disclosed.

These settlements add to previously reached agreements including one with Pilgrim’s Pride ($29 million), Simmons Foods ($12 million), George’s ($5.8 million), Peco Foods ($3 million), Cargill ($15 million), Sanderson Farms ($38.3 million), Wayne Farms ($31.5 million), Perdue Farms ($60.65 million), Case Farms ($8.5 million) and Mountaire Farms ($13.5 million).

In 2019, workers sued the poultry processors for allegedly violating the Sherman Act by conspiring to drive down hourly wages and salaries at poultry processing plants for more than a decade.

According to the complaint, the processors exchanged compensation data provided by Agri Stats Inc. and other sources. The plaintiffs claimed the companies held “off the books” meetings, where managers exchanged future compensation plans across facilities through phone calls and electronic surveys.

SONORA, CALIF. — Diestel Family Ranch announced on July 16 it became the first turkey producer to achieve Regenified certification. Regenified’s seal is the first third-party regenerative program to be recognized and accepted by the US Department of Agriculture’s Food Safety and Inspection Services (FSIS) for single and multi-ingredient products, according to the company.

To achieve certification, Diestel met Regenified’s 6-3-4 Standards — named for six principles of soil health, three rules of adaptive stewardship and four ecosystem processes.

“For 75 years, my family has committed to more holistic agriculture practices that not only support the best habitat for turkeys raised on our farms but also consider the impact on the land used,” said Heidi Diestel, fourth-generation farmer at Diestel Family Ranch. “Regenified certification is an important recognition of what has always differentiated Diestel turkeys from mass-produced poultry products. We lead with the strictest animal welfare and environmental standards in the market to produce the leanest, cleanest and most delicious birds.” 

Founded in 1949 by Jack Diestel, the Diestel Family Ranch has prioritized the health of its birds and thoughtful farming practices from the start. By earning the Regenified certification, the family farm strives to set the bar high and lead the industry forward.

Regenified’s certification process will help Diestel track its progress in advancing regenerative principles to improve biodiversity, soil health, water quality and nutrient density. 

Regenerating the soil at Diestel starts by feeding the birds corn grown by local farmers. Earlier this spring, Diestel sourced 650 tonnes of Certified Regenified corn. By 2035, the farm looks to replace half of its feed with Certified Regenified corn.

To mimic turkeys’ natural habitat, Diestel has set out to create a shaded environment that replicates trees in a forest. All birds on the property are given access to open land that includes over two miles of evergreen, perennial shrubs, grasses and flowering trees. The plants were selected to promote biodiversity, attracting beneficial insects, improving water quality and creating a diverse landscape along with ecosystem function.

Adding to a healthy, diverse environment, Diestel turns its organic waste into valuable, nutrient-dense compost. The farm diverts 2,117 tonnes of waste annually from landfills and produces roughly 6,350 tonnes of compost for local use.

As for the birds’ health, Diestel uses probiotics over traditional chemicals to support a healthy ecosystem on the farm and beyond.

GREELEY, COLO. — Pilgrim’s Pride Corp.’s disciplined diversification strategy paired with continued operational excellence have reaped their reward in the second quarter ended June 30. The company reported a profit of $326.5 million, equal to $1.37 per share on the common stock, up exceedingly by 436% from $60.9 million, or 25¢, from the same period last year.

Pilgrim’s posted a more modest but still significant jump of 5.8% in net sales from $4.3 billion in 2023 to $4.6 billion this year.

“Our global portfolio delivered significant year-over-year profitability growth,” said Fabio Sandri, president and chief executive officer of Pilgrim’s. “We remained disciplined in the execution of our strategies, focusing on what we can control and continuing to expand our relationships with key customers, elevating our performance as market fundamentals became increasingly attractive.”

Within the United States, the company’s Big Bird business benefited from enhanced commodity cutout values, further production efficiencies and lower input costs. Small Bird also grew, given increased demand from key customers in QSR (quick-service restaurant) and deli.

Differentiated and customized offerings helped Case Ready deliver above market growth as well.

As for Prepared Foods, Pilgrim’s saw success from further diversifying its portfolio through increased distribution of branded offerings and innovations across retail and foodservice.

“Our diversified US portfolio enabled our business to capture market upside as conditions evolved in the commodity market,” Sandri said. “At the same time, we also worked in partnership with our key customers to cultivate demand through promotional activity and innovation, further creating value for our customers and consumers alike. We also continued to strengthen our quality and service through operational excellence.”

Pilgrim’s completed a protein conversion plant in south Georgia in March and said the ramp up of production has remained on schedule as well as cultivated additional business.

“Our investment in protein conversion reinforces our strategies to drive profitable growth and mitigates our operational risk,” Sandri said. “We will continue to explore opportunities to strengthen our business and further diversify our portfolio.”

In Europe, consumer sentiment improved as wage growth surpassed inflation. Pilgrim’s diversified portfolio allowed it to meet the needs of consumers ready to exercise their wallets a little more liberally.

Pilgrim’s branded business grew by 7% compared to the previous year, Sandri noted in an earnings call on Aug. 1.

“Europe’s performance demonstrates the robust nature of our strategies and agility of our team,” he said. “Our diversified portfolio allowed us to rapidly adjust to consumer preferences and meet key customer needs. These efforts were further amplified by continued operational excellence to improve production efficiencies.”

Rounding out Pilgrim’s strong performance in Q2 was improvement in its Mexico operations. Several factors contributed to its results, including continued balance in supply and demand fundamentals, growth across retail and foodservice, and momentum gained in Pilgrim’s Fresh and Prepared business segments.

Following the positive postings, Pilgrim’s still sees potential for more growth in Mexico.

“Given our investments to expand production, we have an opportunity to further develop our marketplace presence and diversify our portfolio,” Sandri said.