USDA to invest US$110M to enhance US’s supply chains, meat processing capacity

USA – USDA Secretary Tom Vilsack announced nearly US$110 million in funding from the American Rescue Plan in a move to fortify American food supply chains and expand meat and poultry processing capabilities.

This substantial investment, channeled through the Meat and Poultry Processing Expansion Program (MPPEP) and the Local Meat Capacity (Local MCap) Grant Program, aims to boost independent processing capacity, create new market opportunities for producers, and reduce food costs for consumers.

This funding will aid in the construction of new processing facilities, create numerous jobs, and offer better business opportunities for local producers. 

For example, Simla Frozen Food Locker Co. LLC in Colorado will receive a US$450,000 grant to construct a new facility, expanding its processing capacity and creating four full-time positions. 

Under the MPPEP, the USDA has partnered with the New Hampshire Community Loan Fund to distribute over US$83 million in grants to 24 independent processors across 15 states. 

Similarly, McRez Packing International LLC in New York will be allocated US$390,000 to refurbish an industrial facility, a project expected to generate 110 full-time jobs and serve up to 2,500 new producers.

North State Processing LLC in North Carolina has been awarded US$10 million to establish a facility for processing cattle, ostrich, emu, water buffalo, and alpaca, creating 54 full-time jobs. 

In Wisconsin, NF Packing Inc. is receiving US$1.4 million to build and equip a new processing plant, anticipated to serve 75 producers and create 20 full-time jobs.

Additionally, the Local MCap Grant Program will distribute US$26.9 million to 33 projects in 23 states, focusing on expanding smaller-scale meat and poultry processing. 

Funded projects include White Oak Pastures in Georgia, which will use the grant to convert its poultry processing facility to process lambs, goats, and hogs, thereby increasing capacity by 30%. 

Nordik Meats in Wisconsin will utilize the grant to purchase new equipment to boost processing capacity, benefiting 50 local producers and doubling annual livestock processing. 

Seven Hills Food Co. in Virginia will apply the grant to improve plant facilities, add rendering capacity, and create new value-added products, supporting local producers in accessing larger markets.

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