Meat Products Manufacturers
Industry Profile Report
Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters
Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.
Call Preparation Call Prep Questions, Industry Terms, and Weblinks.
Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.
Industry Profile Excerpts
Industry Overview
The 3,442 meat manufacturing facilities in the US slaughter, process, and package meat protein products; principally beef, pork, and poultry. Meat manufacturing operations are comprised of three main processes: animal slaughtering, meat processing and packing, and rendering non-edible waste into useable byproducts. Larger manufacturers may engage in all of these activities, while smaller manufacturers may have much more limited or specialized operations.
Increasing Regulation
Meat products manufacturers are subject to extensive federal, state, and local laws and regulations by authorities that oversee slaughtering and processing, packaging, storage, distribution, advertising, labeling, food safety standards, and export of meat products.
Growth In Demand For Healthier Meats
Health-conscious consumers are increasing demand for meats from animals raised without antibiotics or hormones and those fed specialized organic feed.
Industry size & Structure
Industry Forecast
Meat Products Manufacturers Industry Growth
Recent Developments
Apr 23, 2024 - Weak Producer Prices
- The Producer Price Index (PPI) for meat products manufacturers, which measures prices before reaching consumers, fell 0.7% in March after rising 1% in the previous annual comparison, the latest US Bureau of Labor Statistics data show. Employment by the industry was relatively flat in January (up less than 1%) versus the year-earlier period. Average industry wages rose 2.3% to a new high of $21.60 per hour over the same period, according to the BLS.
- Labor and environmental practices at meat and poultry processing plants are under a “regulatory microscope,” Food Processing reports. Following the discovery of more than 100 underage workers in 13 plants owned by nine companies in 2023, the Department of Labor and the USDA are working to root out illegal child labor. The underage workers were employed illegally by a third-party contract sanitation service used by many of the big meat companies, according to FP. Several processing companies have been found to be in violation of child labor laws. In February, another third-party contract sanitation company was being investigated by the DOL for child labor violations. Meanwhile, the EPA has proposed new effluent guidelines for processing plants that some critics say don’t go far enough. The American Association of Meat Processors is concerned new guidelines could force small operators to spend millions on wastewater treatment equipment or cease operations.
- In early March, the Florida House approved a wide-ranging bill that would ban the sale of cultivated meat. The bill, which awaits consideration by the governor, would make the sale or manufacture of lab-grown meat a second-degree misdemeanor. It’s one of a half-dozen similar measures introduced in Arizona, Tennessee, West Virginia, and elsewhere so far this year. Lab-grown meat (aka cultivated meat) is grown from cells taken from an animal and does not require slaughtering. While the USDA approved cultivated meat production for the first time in the US in 2023, it’s expected to be many years before lab-grown meat appears on dinner tables, according to NYT. While beef and poultry associations oppose lab-grown meat because of its potential to eat into sales, some meat companies have partnered with cultivated-meat startups to help meet global demand for protein, NYT reports.
- Catering giant Compass Group has filed an antitrust lawsuit charging meatpacking companies with colluding to fix beef prices. The federal lawsuit – Compass Group USA, Inc. v. Cargill, Inc. – filed in late October in North Carolina is the latest to allege that the companies limited the supply of meat and fixed prices in the beef market. (JBS S.A., Swift Beef, National Beef Packing, Tyson Foods, and Tyson Fresh Meats were also named in the suit.) The lawsuit comes after a group of small food distributors filed a lawsuit against the largest beef companies in October for similar allegations. “Their vital role is to purchase cattle from the nation’s farmers and ranchers, slaughter and pack cattle into beef, and sell beef to purchasers like (Compass),” the complaint states. “Operating defendants’ gatekeeping role has enabled them to collusively control upstream and downstream beef pricing throughout the conspiracy period.”
Get A Demo
Vertical IQ’s Industry Intelligence Platform
See for yourself why over 60,000 users trust Vertical IQ for their industry research and call preparation needs. Our easy-to-digest industry insights save call preparation time and help differentiate you from the competition.
Build valuable, lasting relationships by having smarter conversations -
check out Vertical IQ today.