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'Fireplace' Smithfield will remain closed for the time being

14 April 2020 - Chanti Oussoren

Smithfield, one of the largest producers of meat in the United States, has closed a large pork slaughterhouse in South Dakota for the time being. This is due to many corona infections. Initially, the intention was that the location would open again at the beginning of this week.

The extension of the closure of the factory (where about 20.000 pigs are slaughtered every day) is at the request of Kriste Noem, the governor of the state of South Dakota. She asked in a letter to the company to extend the closure by at least 14 days.

Smithfield announced Sunday (April 12) that the Sioux Falls plant will be inactive for an extended period of time. The factory will reopen when it receives further instructions from authorities. The 3.700 employees of the location will continue to be paid for at least 2 weeks during the closure.

Multiple factories with infections
Smithfield is not the only party with many infections. A Cargill plant in Pennsylvania has also been temporarily closed due to an outbreak among workers. Deaths have also been reported among employees of meat factories JBS SA and Tyson Foods.

In the factories it is difficult for employees to meet the distance requirement. In addition, break and changing rooms are shared, which makes the hygiene regulations difficult to handle. Factory workers are concerned for their safety and in some cases workers are protesting the working conditions.

Workers in other parts of the food supply chain have also become ill. The number of infections is expected to continue to increase at meat plants, warehouses and packaging plants. This points to an acute contradiction between the need to protect people and at the same time ensure that enough food is produced. 

Extra security measures
Virtually every company has announced increased measures to protect employees, including meat giants such as Smithfield and Cargill. Companies maintain hand washing and watering facilities. Shifts are staggered and lunch breaks are taken alone.

It is difficult for companies to meet the increase in demand for products caused by the virus while also prioritizing employee safety. Moreover, it is not easy to find workers.

Risk for meat shortages
Despite the fact that US food supplies are still large, including pork, there is a risk of meat shortages. According to Smithfield, closing factories across the country brings meat supplies dangerously close to creating shortages.

"The closure of this facility, combined with a growing list of other protein plants that have closed in our industry, is pushing our country dangerously close to the brink in terms of our meat supply," CEO Ken Sullivan said in his statement. "It is impossible to keep our supermarkets stocked if our factories are not running."

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Chanti Oussoren

Editor at Boerenbusiness who studies the dairy, pig (meat) and feed markets.

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