Cost to build meat processing plant

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Cost to build meat processing plant

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Registered in England and Wales. Number Gretchen Vander Wal Feb 15, Further analysis reveals - with some value-added processing - operating the plant could prove profitable. Call your banker and get out your checkbook. That's assuming you want to invest in a small producer-owned, pork packing plant. The cost to design and build a ,sq.

The engineers began their work last spring and recently revealed the specifications for the plant. Major Assumptions Joe Bove, vice president of the Stellar Group, outlines the assumptions used to identify the costs of design and construction of a typical plant.

In their model, the engineers assume the plant would be built on a acre site with utility services already available. They estimate a total of months to build the plant - five to seven months of permitting and design work and 11 months of actual construction. They estimate the annual consumption of water at 90 million gal. The wastewater system should be able to handle as much asgal.

The plant plan includes holding pens adequate to hold hogs for a minimum of eight hours, including water misters to reduce stress and the incidence of pale, soft and exudative PSE meat. The estimated work force in the plant is workers, working five days a week, 7. That figure does not include management, sales and office staff. Likewise, the base cost does not include wastewater treatment systems some communities may require.

Producers could also input their utility, marketing and packaging costs. And, the program has an option for producers to analyze value-added processes they may be considering.

Operating Costs of Gold Processing Plant

To that end, Richard used the program to illustrate the profitability of such a plant. Using the northwest Missouri location, USDA's year average hog prices and weights for Missouri, five-year average product prices from the Urner Barry "yellow sheet" and local utility and labor costs, Richard demonstrates a positive return for the packing plant.

Richard stresses that the return he showed during the seminar should not be used as a benchmark for producers. Any financial model is not the end-all and be-all. It is a tool," he says. Value Proposition Another key issue in producer-owned packing is the product offered to the marketplace, says consulting economist Dennis DiPietre. Producers also need to be aware that a specialty market for one specific-sized component of the hog may not be profitable, since the plant also must sell the rest of the carcass, perhaps at a discounted price.

Load More.DeMan Construction is well versed in building and or contracting or retrofitting large industrial food processing plants. These ventures can be in the form of added space, transportation loading docks, cooler or freezer floor construction. DeMan Construction has experience constructing a wide variety of food processing plants constructing food processing plants with meat packaging equipment, dairy processing lines, and other food processing systems, maximizing factory production and minimizing energy use.

We focus first on the specific construction processes you need in place to manufacture your product, and then seek to analyze every aspect of your company with our DeMan Design-Architectural Services Group. Only after we gain an understanding for that do we begin to focus on design, layout, and architecture.

Our consulting and design team work seamlessly to build a food processing facility that meets your needs of today, while harnessing the potential of our 63 years of experience. DeMan Construction designs and builds every food processing plant with full consideration of your possible future needs and any potential market shifts. By maximizing your factory production and minimizing energy use, we provide you with a processing plant that will ultimately become your key to success.

We partner with you to renovate, expand, or create food processing facilities that help you to run operations which are cost effective.

Call Peter DeMan Direct. DeMan Construction has experience constructing a wide variety of food processing plants, and we understand the needs and requirements of each one. We have constructed food processing plants with meat packaging equipment, dairy processing lines, and other food processing systems. We have constructed plants for companies that deal with food processing and cooking, for companies that deal with liquid food processing and food beverage processing, and many other types of food processing companies as well.

No matter what type of building you need, we will use our knowledge and experience to construct the perfect plant for your company. At DeMan Construction we are experts at food processing construction, and we believe that our job is to make the construction as hassle-free as possible for you so that you can focus on turning raw ingredients into the products we consume in our homes.

Once the construction process is finished, you will have a food processing facility designed specifically with your company in mind, with the right food processing equipment for the food your company handles.

We will build your processing plant so that you can run your operation efficiently and productively, increasing your own competitive edge and market position. We will take the time to answer your questions and will show you examples of our other work. With over 63 years of experience, DeMan Construction has completed projects for many businesses.

Since its inception, the company has been involved in the design and construction of many successful commercial projects.

New to Meat Processing? How To Get Started

DeMan Construction maintains a full-time staff of approximately 50 commercial construction experts to execute multiple concurrent contracts on time and on budget.

Industrial Food Processing Plants. Various Food Plants. View this project slide deck from start to finish - mouse-over each picture for description or click to stop and view. Bread Source Reception Desk Millwork DeMan Construction is well versed in building and or contracting or retrofitting large industrial food processing plants. Traditional Foods Build Contractors DeMan Construction has experience constructing a wide variety of food processing plants constructing food processing plants with meat packaging equipment, dairy processing lines, and other food processing systems, maximizing factory production and minimizing energy use.

Del Monte Fresh Pack Oshawa Plant DeMan Construction is well versed in building and or contracting or retrofitting large industrial food processing plants.However, there are ways to build a higher confidence level behind your budget and ensure its accuracy—it all lies within the data.

Detailed estimates and recent, relevant data can not only put more meat behind your budget request, it can ensure its precision, too.

cost to build meat processing plant

Aim to gather estimates from your vendors. These estimates need to be as real-time as possible to ensure accuracy.

cost to build meat processing plant

To get timely figures, Stellar reviews food processing projects we have in development in that region or active construction projects in the area.

Your utilities costs are going to differ drastically depending on the state your food processing facility is in. Think outside the realm of property costs. If you can secure a property cheaply but have to pay more for utilities access and infrastructure, it may be just as expensive as purchasing a higher priced property with the utilities already in place.

You must see if you can get utilities to your area of the country relatively easily. There are certain processes you have to go through before you can even determine how much a municipality is going to chip in and how much the owner must provide.

You should take the time to classify and assign risk for each category of your budget instead of tacking on a percentage to the overall total. Assigning risk categorically instead of overall could make the difference of millions of dollars. Breaking these numbers down offers more transparency in your budget, allowing you to examine areas where estimates are more unknown; plus, it gives you the confidence of knowing where these figures came from. If you want to learn more about building a better capital budget for your food processing plant, email me at smark stellar.

He has held the positions of field engineer, project superintendent, project manager, senior project manager and project developer. He oversees the project throughout Read moreconnect with me on Linkedin. Is your facility interested in a digital process safety management PSM platform?

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When will premium processing resume

Yes No. An award-winning blog. Contact Us toll-free in the U. Headquarters Hartley Road. All data and information provided on this site is for informational purposes only and should not be construed as legal or business advice, or as providing consulting services or recommendations that you or your business should follow. The information and recommendations on this site do not apply to the needs of every reader or business, nor does the information or recommendations come with any warranties or confer any rights.

You should consider seeking professional advice to adequately assess your needs and to reach an effective solution. While every effort has been taken to provide the most accurate and up-to-date information and analysis on this site, the information is presented on an "AS IS" and "as available basis", is subject to change without prior notice, and is not guaranteed to be complete, correct, or up-to-date.

Stellar is not liable for any losses, injuries, or damages arising from the display or use of information on this site.Whether you want to expand, upgrade, or build a new plant, the steps are similar. Background Research Learn about the industry.

Talk with other meat plant owners, trade groups, regulatory agencies, farmers, and customers. This will help you decide how you want your business to look. Will it be a small, state-inspected locker selling products only in your state? Or a larger, federally-inspected facility that ships products across the country?

Business Planning and Feasibility Every business needs a plan. You need to figure out where your supplies animals, non-meat ingredients, packaging, equipment will come from, who will buy your products, and what your competition is like. To complete this step, you will also need to know what your facility will look like and what construction costs will be. Remember: planning usually happens in stages, not all at once.

Plant Design This is an integral part of both your business plan and your financing.

Real Cost of Small Plant Estimated at $33.6M

You will need to involve contractors to estimate your construction costs. This page will also give you tips on how to choose equipment, plus videos. Financing Once your business plan is together, you can start looking for financing.

But there are a few public loan and grant programs that have worked for small meat processors. Even strictly custom plants must be inspected periodically. And before you build, you need permits: business permits, building permits, and wastewater permits. Sanitation Standard Operating Procedures. Hazard Analysis Critical Control Point. Microbiology for Meat Processors Meat processors wear many hats and one of them is that of the resident microbiologist.

Labor Start thinking about your workforce needs during business planning. Meat processing is hard work. Finding able and willing employees challenges plants throughout the industry. Finding workers and time to train them will be an important part of your business plan.

Lear n from others! Need inspiration? Or cautionary tales? Check out our case studies of mostly but not always successful meat and poultry processors. Niche Meat Processor Assistance Network. Skip to content. New to Meat Processing? How To Get Started Whether you want to expand, upgrade, or build a new plant, the steps are similar. Search for:. Contact: Rebecca Thistlethwaite, Director thistler[at]oregonstate. Proudly powered by WordPress.Do you want to start a poultry processing plant?

If YES, here is a complete guide to starting a poultry processing plant business with NO money and no experience. We also took it further by analyzing and drafting a sample poultry processing plant marketing plan backed up by actionable guerrilla marketing ideas for poultry processing plant businesses.

A lot of people all around the world consume poultry chicken, turkey, quail, guinea fowl, duck et al on daily basis, and as such, there is a need to have poultry processing plants to able to meet the needs of consumers and to maximize profits for poultry farmers.

As a budding entrepreneur, if you have the required startup capital and perhaps the experience, then you should consider starting your own poultry processing plant company. Depending on the scale you want to start, the startup capital for this type of business is considered to range from moderate to high. As a matter of fact, it is advisable to run a poultry farm alongside your poultry processing plant if indeed you want to maximize profit in this business.

If you get things right before launching your poultry processing business, it will not take you long before you break even and start smiling to the bank. Lastly, if you want to start your own poultry processing plant business, all you need do is to read this article and you will be well equipped.

Poultry processing plant business falls under the Meat, Beef and Poultry Processing industry and players in this industry basically slaughter poultry, process and package the meat into products and by-products. The industry is also involved in purifying and refining animal fat, bones and meat scraps.

Products are sold to other food manufacturers, renderers, grocery and meat wholesalers and retail traders. It is important to state businesses that primarily cut and pack meats from purchased carcasses are also part of this industry. Even though meat consumption based on per capita income is expected to remain stagnant in the next half decade, economic woes before this period aggravated consumption decline.

Because of recovering consumer sentiment, population growth and strong export demand, meat-processing revenue is projected to increase going forward. In spite of the stability of consumer demand for meat-based products; unpredictable weather conditions and disease outbreaks can cause instability in the revenue generated by industry players. The Meat, Beef and Poultry Processing Industry is indeed a very large industry and pretty much thriving in all parts of the world especially in developed countries.

Statistics have it that in the United States of America alone, there are about 5, licensed and registered Meat, Beef and Poultry Processing companies directly responsible for employing aboutemployees. It is important to state that the establishments with lion shares of the available market in this industry are Cargill Inc.

Several researches conducted linked red meat consumption with increased risks of several diseases, hence the need for nutritional awareness among consumers.

As a result of this, consumers have started choosing white meat instead of beef and pork. Statistics also has it that an estimate of about 35 companies are involved in the business of raising, processing and marketing poultry on a commercial level; they export processed poultry and eggs to other countries of the world.

It is on record that Americans consume more chicken than anyone else in the world — more than 90 pounds per capita in So also, inalmost 9 billion broiler chickens, weighing 53 billion pounds, live — weight, were produced. More than 40 billion pounds of chicken products was marketed on a ready-to-cook basis. The poultry processing plant business will continue to blossom because people will always want to eat poultry.

Despite the fact that the industry seems over-saturated, there is still room big enough to accommodate aspiring entrepreneurs who intend opening their own poultry processing plant in any part of the United States of America.

Lastly, if you are looking towards leveraging on the food processing industry to generate huge income, then one of your best bet is to start a poultry processing plant company. One thing is certain about starting your poultry processing plant business, if you are able to conduct your market research and feasibility studies, you are likely not going to struggle to sell your products because there are loads of distributors and consumers out there who are ready to buy from you.

Every industry has folks that patronize them. Those who buy and consume processed poultry food cut across all genders and age groups.

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The reality is that when it comes to selling processed poultry, there is indeed a wide range of available customers. There is no clear niche area in the poultry processing plant line of business because the poultry processing plant business is a niche area in the meat, beef and poultry processing Industry, and every player in this line of business simply process and distribute various types of processed poultry meat chickens, turkey, various birds, quails, guinea fowls, ducks et al.

So, if you are looking towards starting your own poultry processing plant business, then you should clearly define your market so that you will be able to get a fair share of the available market in the industry.

The competition that exists in the poultry processing plant line of business goes beyond competitions amongst poultry processing plants in your location; you are expected to contend with all the players in the meat, beef and poultry processing industry.

So, it will be right to say the competition in the poultry processing plant business is tough. The truth is that no matter the level of competition in an industry, if you have done your due diligence and you brand and promote your products or business properly, you will always make headway in the industry.Can new modular, USDA-compliant meat processing units tucked into shipping containers help make small- to mid-scale farms more successful and sustainable?

With the growing demand for local and humanely raised meats, pasture-based farmers have new market opportunities to become viable businesses. But the dearth of inspected slaughter and processing facilities in many regions of the country remains a chronic and expensive hurdle. This was the case early in when the mobile processing unit MPU serving the Burlington, Vermont area went out of business. Farmer Bruce Hennessey, who raises thousands of pastured chickens and turkeys on Maple Wind Farma diversified livestock, poultry, and vegetable farm, and relied on the MPU, was at a loss as to how to process his animals to deliver to his wholesale and retail customers.

The regulations governing meat processing involve a layer cake of federal, state, and local laws. But for poultry, the majority of states have an exemption that permits qualifying small-scale producers to process their birds on the farm in a USDA- or state-inspected facility; some states cap the number at 1, birds, others at 20, Each exemption carries its own rigorous rules determined by the state. The inside of a Plant in a Box.

Click photo to expand. Hennessey, who had been processing his own birds for years under these regulations, considered retrofitting an existing building on his property into a poultry processing facility for Maple Wind Farm and the other area farms suddenly in need. Hennessey was the first buyer. Upcycled shipping containers are proving to be an affordable and scalable technology for urban and exurban farms.

Across the country, they are being called into service to grow hydroponic lettuce, herbs, mushrooms, and other produce indoors at a profit. Both Plant in a Box and the Locker are fledgling technologies that promise to resolve the logistical problems of the first generation of MPUs and the exorbitant costs of permanent processing plants while turning small- to mid-scale operations into sustainable businesses. As yet, Featherman has sold only four Plant in a Box units and the Locker prototype remains unsold.

cost to build meat processing plant

Many are holding out hope. On-farm slaughter and processing is widely regarded by animal welfare advocates and groups like Animal Welfare Approved as the most humane treatment for livestock and poultry. It limits animal transport and the stress that goes with it. Along with addressing ethical concerns, farmers can retain quality control of their products from birth to butchering.

Yet, the logistical and regulatory issues—from local, state, and federal agencies—create costly hurdles for time- labor- and cash-strapped farmers.

David Schafer, the creator of Plant in a Box, knows each of these challenges firsthand. A farmer turned entrepreneur, he received funding for an MPU in that failed as a business due to the immense management complexities.

Plant in a Box Poultry Processing Container

He is the owner of Featherman Equipmenta manufacturer of backyard poultry processing equipment based in Jamesport, Missouri, used by poultry vanguards, including Joel Salatin in Virginia and Greg Gunthorp in Indiana. Similarly, the Locker aims to help the small- to mid-scale livestock farmers process for—and profit from—whole-animal utilization. Patented by Dr. Michele Pfannenstiel, a veterinarian and U.On-farm chicken and turkey processing holds a special place in my heart.

It paid the mortgage. It introduced us to great people with great farms. It created speaking opportunities. In this episode, I share some reasons to process on-farm, talk through why I believe the scalder is the single most important purchase you should make, and provide some cost analysis to owning and operating your own processing equipment.

The expense of purchasing equipment, the regulatory climate, or even the mystery of slaughtering chickens are often cited disadvantages of processing your own chicken, but here are some of the reasons you should do it anyway:.

If you can only afford a plucker or a scalder, you choose the scalder. I use and recommend the Poultry Man line of commercial equipment for the small scale processor. How much does it cost you to get your chickens processed by someone else?

How much expense do you lose traveling to the processor?

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You need this basic information so that you can have an accurate comparison of the costs of purchasing your own equipment. Many things affect the actual results of these calculations, including equipment cost, labor rate, scale, and your skill. The idea is not to give you exact numbers, but to share a process that helps you analyze the costs for yourself. Your decisions will flow from that analysis. You must be logged in to post a comment. Email address:. Listen to Spence and I on the Fighting Farmer for some discussion.

Figure out a way to attend this great farmer-to-farmer event in The Fighting Farmer podcast with Terrell Spencer will soon have its own show feed.

cost to build meat processing plant

Stay tuned for details. Advantages of Processing Chickens On-Farm The expense of purchasing equipment, the regulatory climate, or even the mystery of slaughtering chickens are often cited disadvantages of processing your own chicken, but here are some of the reasons you should do it anyway: Control of the final product.

Pay yourself for the processing and recapture the drive time to the processor.

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Access markets not available with customer slaughter. Flexible timing and scheduling of processing day. How to Calculate the Cost of On-Farm Processing How much does it cost you to get your chickens processed by someone else?

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