Kingsbury and Associates have announced that Farmers Union Industries plan to establish a by-product processing facility linked to the proposed Rapid City, SD plant currently in the feasibility stage of development. According to Dale Bednarek, the CEO of Farmers Union Industries, the proposed plant would produce meat and bone meal and tallow as feed ingredients.
The proposed Kingsbury plant would cost $1.1 billion and could process up to eight thousand head per day, employing 2,500.
The South Dakota Stock Growers Association is supporting the proposed plant based on the perception that the “Big Four” represent an oligopoly and that additional competition among meat packers is required.
At this time, there is insufficient information concerning the project to assess feasibility and obvious concerns including available supply of cattle, odor and waste disposal and availability of labor.