Opportunity Knocks

[Murphy Siding]

greyhounds

 

The Farmer John Vernon, CA pork plant is the only halfway reasonably sized such facility on the west coast.  And it’s being shut down.  I’ve got it at a capacity of 7,500 hogs per day turned into pork.  Compare that with the facilities at Sioux City or Waterloo, Iowa, or elsewhere, that can process 20,000 hogs per day.  20,000 is a common amount and it seems to be the largest economical size.  There is one long established facility in North Carolina that can do 32,000 per day.  But it hasn’t been replicated, so I’ll guess diseconomies set in above 20,000 head per day. 

 

Total US hog slaughter in the year 2021 was 128,986,000 head.  About 23% went to export.

 

The soon to be closed Vernon, CA facility was the destination for the last significant volume livestock movement by rail in the US.  Live hogs from Nebraska were hauled to California for slaughter on the Union Pacific.  That went away maybe 20-25 years ago when they decided to raise the hogs closer to California and haul the livestock in by truck.

 

Go get ‘em railroad marketing folks.  It’s long haul and high volume.  And a refrigerated trailer/container made empty in California is an opportunity, not a problem.

 

Those Californians aren’t going to stop eating bacon/sausage for breakfast.  Or pork chops for dinner.  Get the freight on the railroad and send ‘em a bill.

There might be a paywall here.  But hey, I tried.

 

 

https://www.wsj.com/articles/smithfield-foods-citing-high-costs-of-operating-in-california-to-close-pork-plant-11654950795?st=2mrumkbxjp3kixu&reflink=desktopwebshare_permalink

 

 

 

 

Wouldn't this mean that the midwest plants would need to process an addition 7500 hogs a day to cover this?

[Backshop]

After 200+ views and no responses, someone couldn't help themselves and had to respond...

[SD60MAC9500]

 

The last live hogs were delivered in 1994. Reporting marks on the cars were fittingly HOGX. Toward the final years these cars ran in blocks of about 5-10 on the headend of UP's hotshot NPLAT.

Let's see what happens.. It sounds like Smithfield may try to find a buyer for the plant.. If not turn it into cold storage. It's a very short dray from East LA, and Hobart.

 

Hey! Maybe they can make a run at those Califronia avocados going to the Midwest/Northeast! Ventura, and Santa Barbara counties dominate California avocado prouction at roughly 68% of the states total. Dray would be about 100-115 miles give or take.

 

 

 

 

 

 

 

 

[Gramp]

No longer a Smithfield fan since it's owned by the PRC.  Smithfield was known for their hams when it was really Smithfield. Hope this doesn't mean that they'll import to west coast from China.  Couldn't read much of the article. If production does come from the Midwest, I hope some railroad-oriented group does listen to you, and picks up the ball and runs with it. 

[greyhounds]

 

The Farmer John Vernon, CA pork plant is the only halfway reasonably sized such facility on the west coast.  And it’s being shut down.  I’ve got it at a capacity of 7,500 hogs per day turned into pork.  Compare that with the facilities at Sioux City or Waterloo, Iowa, or elsewhere, that can process 20,000 hogs per day.  20,000 is a common amount and it seems to be the largest economical size.  There is one long established facility in North Carolina that can do 32,000 per day.  But it hasn’t been replicated, so I’ll guess diseconomies set in above 20,000 head per day. 

 

Total US hog slaughter in the year 2021 was 128,986,000 head.  About 23% went to export.

 

The soon to be closed Vernon, CA facility was the destination for the last significant volume livestock movement by rail in the US.  Live hogs from Nebraska were hauled to California for slaughter on the Union Pacific.  That went away maybe 20-25 years ago when they decided to raise the hogs closer to California and haul the livestock in by truck.

 

Go get ‘em railroad marketing folks.  It’s long haul and high volume.  And a refrigerated trailer/container made empty in California is an opportunity, not a problem.

 

Those Californians aren’t going to stop eating bacon/sausage for breakfast.  Or pork chops for dinner.  Get the freight on the railroad and send ‘em a bill.

There might be a paywall here.  But hey, I tried.

 

 

https://www.wsj.com/articles/smithfield-foods-citing-high-costs-of-operating-in-california-to-close-pork-plant-11654950795?st=2mrumkbxjp3kixu&reflink=desktopwebshare_permalink