March 20, 2020

Tyson Foods expects US grocery meat supply to recover

Noel White, Tyson Foods CEO said the demand for meat will outstrip supply due to COVID-19 in the United States, but supplies will soon be replenished in a couple of weeks, reported Reuters.

US consumers have been alarmed over empty supermarket shelves for chicken and beef amid increase demand because of the COVID-19 outbreak.

However, White said his company will be better adjusted to the surge in demand in another week or so, adding that supplies of beef, pork and poultry available in the country has grown between 2% to 3% compared to 2019.

White said the rising demand for meat in supermarkets has been offset by falling demand from restaurants, with the exception of fast food restaurants.

Tyson is the biggest supplier of meat in the United States, with fast food giants like McDonald's among some of its major customers.

White said Tyson Foods has moved processing facilities that produced food for restaurants to grocery stores instead, with slaughterhouses in operation at full capacity even on weekends.

Cattle futures on the Chicago Mercantile Exchange fell over worries that slaughterhouses will shut down if COVID-19 spreads among staff.

To avoid this potential issue, Tyson Foods has started taking staff temperatures in two of its processing facilities and will expand the measure to all its staff in the US.

-      Reuters