Today 09:55 hrs – Steph Wissink
The rapidly spreading Omigron variant puts a lot of pressure on the processing capacity of meat processing companies in the United States. Not only slaughterhouse workers but also government inspectors are being hit hard.
In particular, beef supply seems to have been tightened due to declining processing capacity. Beef prices have recently risen to their highest level since November. When prices were already high. Beef production is down 5.3% from last week. The U.S. Department of Agriculture said beef prices rose 1.3 percent.
Higher attendance rate
Spokesmen for various meat processing companies and interest groups confirm the problem in the media. The attendance rate is currently estimated at 8%, almost twice as high as normal. A spokesman for the U.S. Department of Agriculture notes that more and more research workers are becoming infected. So it has to change significantly to maintain the size of the staff.
Meat processing companies are not the only ones affected. In many sectors, low staff availability is currently a thorny issue. The current problems raise fears that inflation in the United States will rise further, especially if the problems last longer than expected, which will weigh on productivity in the long run.
Stef Wissink is an author at Boerenbusiness and writes about current market developments in the milk and pork market. He also follows the Dutch and international agribusiness.
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