Pilgrim’s Pride cutting back production
Poultry giant Pilgrim’s Pride has announced that it will stop production at 2 processing plants in Arkansas and Louisiana with the aim of boost profits.
Ending production at the Arkansas plant will result in a 1.25% cut in company’s chicken production heading into fall. Processing at the Louisiana plant will be moved to other facilities.
These productions cuts will result in the loss of 600 positions.
Pilgrim’s Pride has been attempting to cut production to restrict supply and lower chicken prices. With the cost of grains soaring, margins at the company have suffered. Pilgrim’s Pride hopes that higher chicken prices may raise revenue enough to offset some of the higher costs.