Construction resumes at Northern Beef Packers in Aberdeen
December 30, 2010
ABERDEEN, SD – Construction has resumed at the Northern Beef Packers (NBP) plant near Aberdeen, SD, and NBP President and CEO David Palmer said the plant is expected to be operational next year.
“The ownership and management team established in late 2009 has spent the past year updating and revising the development, financing, marketing, and operational plans for this plant,” Palmer said. “These changes have allowed us to work through previous financial obligations and move forward with construction. Given these positive steps, we expect to start processing cattle in mid- to late-2011.”
The NBP campus will eventually cover more than 662,500 square feet and include a processing facility, an enclosed stockyard, a rendering and utility building, a loading area and a parking lot. When fully operational, NBP intends to process 1,500 head of cattle a day, or 390,000 head annually.
“NBP owes the state of South Dakota much appreciation for its dedication to this project,” said Palmer. “The Governor’s Office of Economic Development helped us connect with investors, secure federal, state, and private financing, and continues to provide us with technical assistance and know-how.”
Gov. Mike Rounds said NBP’s progress is great news for South Dakota’s cattle producers.
“South Dakota has the best beef producers and the best-tasting beef in the nation. After years of discussing how to add value to our home-grown premium meat, we have found a way to do it,” the Governor said. “With NBP in place, cattle producers will no longer need to travel across South Dakota’s borders to have cattle processed. That means less expense for producers, and more jobs for South Dakota.”
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According to Richard Benda, Secretary of the South Dakota Department of Tourism and State Development, NBP will have the ability to process South Dakota Certified Beef. This could increase demand and bring premium prices for South Dakota beef. The South Dakota Certified Beef program allows meat products to be tracked for age and source verification.
“While the demand for traceability is growing in the United States, age- and source-verified meat products are especially important to consumers in Asian countries. A facility that can process South Dakota Certified Beef in large quantities could allow South Dakota beef producers to expand their market internationally,” said Benda.
NBP is expected to employ more than 560 people in the next three years. The additional jobs will pump more than $22 million of direct wages and benefits into the Aberdeen economy.
“The addition of hundreds of jobs is great news for the community,” said Jim Barringer, Executive Vice President, Aberdeen Development Corporation. “The community is working very closely with NBP to make sure we reach the full potential of this opportunity.”