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Northern Beef Packers Test Runs Plant

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Justin Sullivan, Getty Images

Northern Beef Packers LP is the newest, most modern beef processing plant in the country. Using the high-quality, family farm raised young cattle in the Dakota region. Northern Beef Packers will provide world-class prime beef, traceable from farm to finished product.

The plant has been testing equipment the last five weeks in the 420,000 sq. ft. facility. On Friday (September 28), two head of cattle were process tested with the company’s lenders from South Dakota Investment Fund LP6 present. The test slaughter allowed Northern Beef Packers to confirm the process performance and to verify the industry’s most advanced food safety process was working as designed.

A new round of financing this week has helped Northern Beef Packers reach this milestone. The funds paid $15 million worth of liens incurred during the initial general partner’s tenure with the company. The financing also provided Northern Beef Packers cash to pay its current venders and still have the working capital needed to start and operate the plant. Northern Beef Packers now has in place its Packers & Stockyards Act security of $900,000 for prompt cattle payments. This security will increase to $3,000,000 as volume increases.

CEO and President, David Palmer said “The plant currently employees 258 people and we will continue to hire over the next seven months until we reach 560 people at full production. Northern Beef Packers has spent over $100 million to build the plant which has created a significant economic benefit for the local economy during the national recession. In full operation, Northern Beef Packers will be spending over $500 million every year in the local economy for cattle, supplies, and wages. This will offset the local closings and layoffs in our community and create additional long-term economic growth for local businesses and public services.”

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