Mobile Processing

 

The Challenges and Importance of Small Scale Meat Processors in your Community

Do you remember the period several months ago, there were meat shortages at many grocery stores.  There were many factors in play which made this happen but, for approximately the last 19 months or so there has been a huge emphasis on finding a quality local vegetables and meats.  This has lead to a sustained challenge to the local food system in many areas.

When the worldwide Covid-19 shutdown started, the impact that it had on food production and distribution equated to only a short 100 days which separated the announcement by China to the WHO that ‘a unique virus’ was causing hospitalization from a ‘respiratory like disease’ in January 2020.  Then came warnings from the CEO of a major food company and many others that the “food supply chain is breaking and cannot keep up” in April.

The uncertainty and the unpredictability of this announcement was a shock to both supply and demand scenarios causing a dramatic upturn in demand and consumer stockpiling followed by decreased demand with the shutdown. Agricultural producers were impacted by large negative demands by packers and large positive demands by retailers, low retail meat supply and high livestock supply.  Many questioned, “What do I do with the livestock ready for harvest?”

Many, many people have touted the strategy of improving supply chain resilience through altering the current supply chain configuration.  Many locals have proposed or initiated efforts to increase local and regional food systems, or ‘shorten the supply chain’ with smaller less specialized systems. Economies of scale have developed large centralized packing industries that have evolved because superior savings in cost per unit savings in mechanization, processing, labor and shipping.  Many of these efficiencies can result in a 35%- 40 % reduction in per-head processing costs.

So, will there be enough smaller, mid to medium sized plants to effectively make up this shortfall? Not at this point with existing infrastructure.  Small plants generally have aging facilities, severe labor challenges, lack economies of scale, have scenario’s like dealing with offal disposal and others which cause increases in cost per unit processed.  Add on the paperwork requirements for HACCP, custom vs USDA inspected and sanitation which are major obstacles.  Animal welfare and care are concerns are hard to address by small packers.

Can new Small to Mid-Size Meat Processing Facilities Replace Lost Beef Packing Capacity?  I would suggest that: No, smaller to mid-size packers cannot make up lost capacity due to loss of capacity to large plants over the last 50 years, but yes they can meet critical needs of consumers for local food and play an important role in the meat supply chain as a service to Farmers Markets, CSA’s and local livestock producers and communities.

However, remember that each of these small processors generates income that is reinvested in the local communities through taxes, employees, services, farm businesses, banks, and many other ways.  One small example is that local packers have secured harvest capacity for 4-H/FFa youth market livestock projects which provide youth education and experience on animal husbandry, nutrition, financial management, marketing, leadership, responsibility and other attributes while meeting local food needs and providing a potential stimulus to the community.

You may want to remember same of these thoughts when looking for your next career or buying your next steak or taking a stance on your areas next zoning decision. The success of these small local packers depends on how sustainable the demand by consumers is for locally produced food sources and the consistency of community and political to support small local and regional packers.