By Scout Nelson
Farmers in Iowa, Minnesota, and Wisconsin are facing significant challenges after the abrupt closure of a struggling organic chicken processing plant. Pure Prairie Poultry, a Minnesota-based company, shut down its Charles City, Iowa, plant following its recent bankruptcy filing. The company had provided farmers with chicks and feed until the birds were ready for processing.
In 2022, the U.S. Department of Agriculture (USDA) supported Pure Prairie with a $39 million guaranteed loan and a $7 million grant to expand operations. However, the company cited financial difficulties, supply chain disruptions caused by the COVID-19 pandemic, and low chicken prices as contributing factors to its closure.
Following the shutdown, farmers who had contracted with Pure Prairie faced immediate issues as payments and chicken feed deliveries ceased. This created an animal welfare crisis and put farmers’ finances at risk.
Officials from Iowa and Minnesota’s agriculture departments stepped in to help, with Iowa taking control of over 1 million chickens at 14 farms and Minnesota processing or depopulating another 300,000 birds.
The situation has raised concerns over the potential spread of bird flu, especially as farmers have been left with limited options for managing their flocks. State and federal agencies, including the USDA, are now working with local agriculture departments to explore financial assistance options and address the crisis.
In addition to aiding farmers, USDA representatives are also considering how the facility might return to profitability to prevent further disruptions in the future. The closure highlights the challenges farmers face when reliant on a single processor for their operations and underscores the need for a more resilient agricultural infrastructure.
Photo Credit:usda
Categories: Minnesota, Livestock, Poultry