August 16, 2022

 

Texas, US beef facility gets US$670 million investment

 

 

Area beef producers announced a US$670 million investment in a facility — located in Texas, the United States — to process cattle into beef.

 

The facility, Producer Owned Beef, will be at the Interstate 40 and U.S. Highway 287 split east of Amarillo.

 

Texas Governor Greg Abbott announced on August 10 the Texas Enterprise Fund will contribute US$12.2 million to the project on top of the US$11.1 million of incentives from the Amarillo Economic Development Corporation.

 

"Made in Texas' is a powerful global brand and continues to attract investment from companies serving crucial industries," said Abbott. "Producer Owned Beef's selection of Amarillo for its new beef processing plant further reinforces the Panhandle as a leader in the US beef production and will create over 1,500 new jobs and millions in investment for the region. We welcome Producer Owned Beef to Amarillo and look forward to working with the company to keep Texas the economic engine of the nation."

 

According to a news release, when they reach full capacity, there will be 1,600 employees there.

 

"More than 1,500 jobs with this project but as it grows as we bring new jobs and we increase the people that're living in the city its good for us economically across the board," said Mayor of Amarillo Ginger Nelson.

 

The plant will ultimately have the capacity to process more than 3,000 head of cattle per day.

 

"We are excited about the continued momentum of Producer Owned Beef with the governor's support through the Texas Enterprise Fund," said Casey Cameron, chief executive officer of Producer Owned Beef. "This further reinforces the Amarillo Economic Development Corporation and the City of Amarillo's commitment to building our new beef processing plant in Amarillo."

 

The new facility will allow the producer to be closer to the process.

 

"One of the most exciting things with the exception with it being here in Texas that's exciting as well," said Monte Cluck, vice president of producer relationships. "It allows the producer's that are involved in this project to access the value chain further than they've ever been able to do before."

 

According to a news release, the facility will have an estimated US$670 million impact in capital expenditure and US$120 million in annual payroll in Amarillo.

 

"Beef and beef production are part of Amarillo's culture and history, with nearly 28 percent of cattle fed in the United States coming from the Texas Panhandle region," said Mayor Ginger Nelson. "Beef is a staple of the Amarillo economy and the addition of Producer Owned Beef, LLC, enhances Amarillo's role in the beef industry on a national scale."

 

Executive vice president Cassie Fisher said many cattle producers from across the US have shown interest in joining the partnership.

 

"The producer will be able to share in that value chain and they will be able to access the whole-sell beef market and be closer to the consumer so its attracting interest all over but the cattle will be fed here in Texas eastern New Mexico and the Oklahoma panhandle," said Fisher.

 

The expected groundbreaking will be in the first quarter of 2023 with the completion at the end of 2025.

 

- KFDA

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