August 21, 2006

Top poultry producer in US state of Minnesota announces expansion plans

Minnesota's biggest chicken producer Gold'n Plump Poultry announced a major expansion of its operations this year, with a new US$8 million hatchery as part of its US$38 million project to expand operations.

Underneath the veneer of exuberance and optimism lies apprehension about what has become the bane of the chicken industry the world over ¨C bird flu. 

CEO Mike Helgeson said in a recent interview that he fully expects bird flu, the highly pathogenic version, to arrive in the US sometime this year. Even so, it does not mean that chicken would become unsafe for consumption. 

USDA figures show that Americans eat nearly 90 pounds of chicken per capita annually, more than pork, at 50 pounds, and beef, at 70 pounds.

The industry also depends on exports for 15 percent of its production, with Russia its top customer, followed by Mexico and Canada, China and Eastern Europe.

The company is Minnesota's only major chicken producer, ranking 25th in the nation for its weekly production of 1.64 million birds.

The company, which qualified for the USDA's "all natural" label, produces chicken with no artificial ingredients, colors or hormones. In recent years, it has expanded its offerings to include more value-added products such as chicken-shaped breaded nuggets and stuffed chicken breasts.

The company also implemented a testing programme this year taking blood samples from each flock 10 to 12 days before they are processed to check for bird flu.