News
Walmart opens beef packing facility, creating its own supply chain
The world’s largest retailer is entering the beef business. Walmart has officially opened a new beef packing facility in southwest Georgia.
The facility will employ 350 people working to supply Black Angus beef to 500 retail stores in the southeast.
Walmart announced in April their cattle will be sourced from 44 Farms, a Texas-based Angus seedstock operation. They will be finished at Mc6 Cattle Feeders outside of Hereford, Texas, then processed by Creekstone Farms in Arkansas City, Kansas.
Cattle in the feeder calf program for Walmart receive no hormones, are predominately “Angus Strong” genetics and meet USDA’s definition of Angus.
Before the venture, Walmart sourced most of its beef from Cargill and Tyson Foods.
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The ranchers who contract with Walmart will get a premium price until supply meets demand. And then prices will decline as Walmart will not want ranchers to get in on the profits. Ranchers beware what you sign up for….
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This will kill the cattle market just like they killed the dairy farms.
Interesting, Walmart use to cut meat in their stores until they wanted to go union. They ended up firing all the meat cutters and went to pre-pack. I haven’t bought walmart meat in 15 years, and I don’t ever plan on it.