Tyson, O.K. Foods benefit from USDA purchases
by September 27, 2013 9:14 pm 246 views
Arkansas was a big winner in the U.S. Department of Agriculture’s additional poultry purchase program announced earlier this month.
Tyson Foods and O.K. Foods garnered contracts for 66.12 million pounds of chicken, leg quarters.
USDA announced Friday (Sept. 27) it had awarded contracts to four companies valued at $49.8 million, including transportation costs.
• Tyson Foods: $32.938 million for 59.28 million pounds
• O.K. Foods: $4.035 million for 6.840 million pounds
• Pilgrim’s Pride: $6.434 million for 10.906 million pounds
• Peco Foods: $1.434 million for 2.432 million pounds
The USDA recently announced it would buy chicken sitting in cold storage under a bonus program to help the excess supply which can have a dampening effect on wholesale prices.
Chicken-leg quarters on June 30 had reached 138.7 million lbs., a 157% increase over inventory a year ago, according to the National Agricultural Statistics Service.