Smithfield delays gestation phase-out programme

Smithfield Foods announced Wednesday (June 24) that it will delay its plan to remove gestation stalls for pregnant sows due to financial losses.

Smithfield unveiled its change in plans in its 2009 annual report, according to a report in The Virginian-Pilot newspaper.

The world's largest pork processor and producer announced in January 2007 that it would replace the stalls with group housing, phasing in the new accommodations over a decade's time. The company's decision earned praise from animal rights groups.

Although Smithfield already has converted to group housing at three farms, it no longer expects to meet its 2017 overall deadline. The transition would be expected to cost about US$300 million, and Smithfield lost US$190 million in fiscal 2009.

The company said in its report that it will stick to its commitment as soon as economic conditions improve.