PERDUE Farms is consolidating production from the Booth Creek Natural Chicken (BCNC) plant in Fredericksburg, Pa., to modernized plants with the capability and capacity to better serve customers for its Coleman and customer-owned organic and no-antibiotics-ever brands.
"As we increased our focus on premium brands and products, we freed up capacity across our supply chain, which led us to look at how we could align our assets to more efficiently serve all of our customers," Lester Gray, Perdue senior vice president of operations, said.
"When we looked at our long-term needs, it became clear that the BCNC plant would require significant and costly upgrades, and even then, we would not overcome the age and physical limitations of the facility," Gray said.
The Fredericksburg plant will close on or shortly after March 14. The lease for a distribution center in Denver, Pa., that serves the BCNC plant will not be renewed.
Perdue will offer all affected associates the opportunity to transfer to other Perdue facilities. Associates who choose not to transfer will be offered severance packages, including extended benefits coverage. Perdue will also work with other employers and agencies to place as many individuals as possible within the community.
These changes will have no impact on the company's organic live production in Pennsylvania. Perdue said it will continue organic chicken production with the same local farmers, U.S. Department of Agriculture-certified organic feed ingredient suppliers and organic feed manufacturing and local hatchery. The company plans to work with its other Pennsylvania growers to transition them to organic production.
Perdue is also contracting with Pennsylvania farmers as it develops a breeder operation in the state.
"These moves are part of an ongoing strategy to focus on premium brands and products in the USDA Process Verified all-vegetarian-fed, no-antibiotics-ever and organic segments while increasing efficiencies in an ever-more competitive marketplace," chairman Jim Perdue said.