Iowa city council passes tax rebate for proposed JBS sausage plant

Iowa Economic Development Authority approves tax breaks for JBS project

The Iowa Economic Development Authority (IEDA) board has approved US$12 million in tax incentives for a sausage production plant JBS USA plans to establish in Perry.

The company is investing US$135 million in the 150,000-square-foot site, which is designed to produce around 130 million pounds of fresh sausage annually.

According to state officials, the development is projected to generate 250 jobs in its first three years, with employment eventually expanding to 500 positions.

Governor Kim Reynolds said the project marks a significant addition to Perry’s economy, pointing to the impact it could have for families in the area.

The governor added that the decision by JBS signals continued reliance on Iowa’s workforce, agricultural base, and efforts to strengthen communities through industrial growth.

Job creation and production capacity

JBS currently employs more than 5,300 people at its existing plants in Council Bluffs, Marshalltown, and Ottumwa, and the Perry operation will add to that presence.

The new site is expected to process about 500,000 sows each year, producing sausage volumes that the company estimates could supply over four million people nationwide.

The IEDA incentives are being delivered through the state’s High Quality Jobs program, with nearly 60 positions at the facility projected to pay above US$30 per hour.

The announcement comes months after Tyson Fresh Foods closed its Perry meat processing plant in March 2024, a shutdown that affected about 1,200 workers.

Company statement and timeline

JBS USA Chief Executive Wesley Batista Filho said the company is committed to building a modern facility while providing employment opportunities and contributing to Perry’s recovery following recent losses.

He also thanked Iowa officials for their support in approving the tax incentives that are tied to the development.

The project represents one of JBS’s largest recent capital investments in Iowa and is scheduled to become fully operational by late 2026.

State leaders expect the facility to help stabilize the local economy through job creation and expanded agricultural processing.

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