Smithfield to close California pork plant

https://www.reuters.com/markets/us/smithfield-close-vernon-p…

Due to rising costs caused by California law requiring larger cages for hogs.

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Coincidently, keeping supplies “short” and prices high?

Steve

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Due to rising costs caused by California law requiring larger cages for hogs.

Costs have economic consequences? Who would have thought…

The Captain
is amazed by what can be learned at METaR!

Did anyone consult the hogs? :innocent:

Coincidently, keeping supplies “short” and prices high?

Politics not allowed so I can’t say “Cap…ism!”

The Captain
likes to comply with the ruleERs

I wonder if the orders came from Beijing?

https://www.foxbusiness.com/money/china-buys-smithfield-food…

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The Reuters article noted that they closed the original plant in Virginia in 2021.

You might suspect they think it will be cheaper to ship product into California from other states than to comply with California hog cage requirements.

And of course competitors will also face higher costs from the new requirement.

Due to rising costs caused by California law requiring larger cages for hogs.

Also we read that:
https://abcnews.go.com/Health/wireStory/smithfield-foods-shu…
Monroe said operating costs in California are much higher than in other areas of the country, including taxes and the price of water, electricity and natural gas.

“Our utility costs in California are 3 1/2 times higher per head than our other locations where they do the same type of work,” he said.

DB2

It’s just business, but I believe California will try to make it political.

Monroe said operating costs in California are much higher than in other areas of the country, including taxes and the price of water, electricity and natural gas.

“Our utility costs in California are 3 1/2 times higher per head than our other locations where they do the same type of work,” he said.