Beef processing plant expansion plans halted

Beef processing plant expansion plans halted

KANSAS CITY — Due to higher-than-expected costs, National Beef Packing Co. LLC indefinitely paused the expansion of its subsidiary Iowa Premium beef processing operations in Tama, Iowa.

Iowa Premium announced in March 2021 its intentions to begin construction, expanding its current Tama facility in 2022, to be completed by 2024.

“We thank the city, county and state leadership, our Iowa cattle suppliers and the Tama community for their enthusiastic support for the project,” said Marcy Johnson, director of corporate communications. “We will continue to invest in our employees, our existing Iowa Premium production facility, and this community.”

While the expansion was expected to double production capacity to 2,500 head per day, the beef processing operations at the Tama facility will continue at current production levels and will maintain its workforce of more than 830 employees.

National Beef said it will reconsider plans for the project at a later date.