In addition to production cuts the poultry industry has taken in recent months, Sanderson Farms Inc. Chairman and CEO Joe F. Sanderson predicted another round of cuts in September, followed by still another in October or November.
As for the company, Sanderson did not give explicit figures. Sanderson said traditionally the company's plants do not run at full capacity through the fall, typically going back to full capacity in February.
He said seasonal fall cuts are already in place, but it would be late fall before he would decide whether or not to go back to full capacity in February, 2009.
Although Sanderson voiced his commitment to the plant, it appears the delay could be extended: the plant would not go ahead until he had a clear indication of grain prices in not only 2008 but 2009 as well.