Pilgrim's Pride Corporation has announced plans to close its chicken processing plant in Dalton, Georgia, within 60 days and consolidate production at the company's processing facility in Chattanooga, Tennessee.

The hatchery in Cohutta, Ga., will continue to operate. Other live production operations will also continue to function, but as a part of the Chattanooga complex or other nearby operations. Approximately 120 independent contract growers who currently supply birds to the Dalton processing plant will be transitioned to begin supplying the company's Chattanooga plant or other nearby company facilities within approximately 90 days.

There will not be any disruption in the supply of product to retail, foodservice and industrial customers as a result of closing the Dalton facility.

The closing of the Dalton plant is aimed at improving the company's capacity utilisation and reducing its costs, and Pilgrim's Pride will continue to look for opportunities to improve its cost structure during reorganisation, said President and CEO Don Jackson.

Pilgrim's Pride Corporation operates chicken processing plants and prepared-foods facilities in 14 states, Puerto Rico and Mexico. The company's primary distribution is through retailers and foodservice distributors.