Ceremonial Groundbreaking Held At North Platte Beef-Processing Facility

By Paul Hammel, Nebraska Examiner:

October 5, 2022

LINCOLN — Dignitaries, including Gov. Pete Ricketts, broke ground Tuesday on a $325 million beef processing facility on the east edge of North Platte that is projected to have a $1.1 billion yearly economic impact on the area.

The Sustainable Beef project, projected to employ 875 workers, is being financed by a group of ranchers/cattle feeders, along with Wal-Mart and some local and state grants.

‘Right place, right time’

“Sustainable Beef is the right people at the right place and at that right time,” said David Briggs, an Alliance co-op manager who is CEO of Sustainable Beef.

The project, he said, was three years in the making and was initially inspired by a state trade mission to Vietnam, which is a major buyer of Nebraska beef.

In recent years, cattle producers have grown frustrated with delays in getting cattle slaughtered, initially prompted by a 2019 fire at a Kansas meatpacking facility and then by slowdowns caused by the pandemic. Producers also complained about low prices being paid by the four huge beef packers who dominate the market.

Trey Wasserburger, a North Platte rancher, said the project is not just about creating an economic impact for the local area, but also about providing opportunities for the next generation.

26 feedlots to supply cattle

The facility has agreements with 26 feedlots in the North Platte area to provide cattle to the facility, which is expected to open in late 2024.

Briggs said partnering with Wal-Mart not only wrapped up the investment needed for the project, but also will provide a steady customer for the beef processed at the North Platte facility.

An official with Wal-Mart, which has a distribution center in North Platte, said the sustainable manner in which ranchers will be raising cattle for the facility fits with Wal-Mart’s goals.

The Sustainable Beef facility will be able to process more than 1,500 cattle per day.

Rail park planned nearby

The project received a significant boost from the Nebraska Legislature this spring when lawmakers allocated $20 million of the state’s $1 billion in American Rescue Plan Act funds for wastewater treatment at qualifying meat processing facilities.

While in the area, Ricketts met with officials in Hershey, where a new, 300-acre industrial rail park has been proposed.

The Legislature has provided a $30 million Rural Projects Act grant for the rail park, which recently announced it was seeking a soybean-crushing plant to locate there.

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