Tyson Foods has said that it will sell its Georgia-based poultry complex to chicken products maker House of Raeford Farms, as the U.S meatpacker looks to cut costs amid subdued demand.
The company has been grappling over the last few quarters with price-conscious customers cutting back on meat purchases and has made efforts to return to profitability by shuttering chicken, beef and pork plants, as well as laying off corporate employees.
Poultry Processing
Tyson said House of Raeford Farms intends to continue poultry processing at the complex in Vienna, Georgia and would utilise the existing workforce.
The U.S. meatpacker said it would continue to serve customer orders from other production locations.
The terms of the agreement, which are subject to approval from U.S. regulators, were not disclosed.
Closure of Iowa Plant
In March, the company had announced it would permanently close a pork plant in Perry, Iowa, eliminating about 1,200 jobs. This step was in addition to the closure of six chicken plants in the United States since the beginning of 2023.
In December, egg producer Cal-Maine Foods had also agreed to acquire a shut chicken broiler processing plant, hatchery and feed mill in Dexter, Missouri, from Tyson Foods.
Headquartered in Springdale, Arkansas, Tyson Foods is home to brands such as Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, State Fair, Aidells, and ibp. Founded in 1935 by John W. Tyson, it has been managed by four generations of the Tyson family, and employs 139,000 personnel as of September last year.
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Additional reporting by ESM
