North Dakota to receive over $10 million to increase and expand meat and poultry processing

Bismarck, North Dakota – USDA Rural Development State Director Erin Oban announced today that the department is investing $10 million through the Meat and Poultry Intermediary Lending Program and $471,525 through the first round of the Meat and Poultry Processing Expansion Program (MPPEP) in North Dakota.

The declaration follows President Biden’s pledge, made through the American Rescue Plan, to improve the capacity for processing beef and poultry. This will boost competitiveness, support producer income, fortify the food supply chain, and generate employment and economic possibilities in rural areas.

“USDA Rural Development was given a significant responsibility to design and launch programs that would respond to major challenges that have long-impacted our country’s food supply chain and were emphasized and made even more obvious at the height of the COVID-19 pandemic,” said Rural Development State Director Erin Oban. “The priority of the Biden Administration to address this challenge created opportunity for North Dakotans, and we are thrilled to award $10,000,000 to Lewis and Clark Development Council and nearly $500,000 to South 40 Beef, both right here in our state. Expanding their capacity and supporting in-state meat processing is a win-win for producers, businesses, and consumers.”

The $10 million grant will be used by Lewis and Clark Regional Development Council to provide flexible financing for the establishment, growth, and operation of organizations involved in the primary or secondary processing of meat and poultry. This will aid in the development of North Dakota’s economy and communities.

With the help of a $471,525 grant, South 40 Beef, LLC will develop its Mott beef processing facility. Currently, 130 heads of cattle are processed in the 6,000-square-foot facility each month. With the grant money, they will be able to extend the size of their operations to 12,000 square feet and add more chiller and fabrication space. Up to 300 head of cattle can be processed each month thanks to these upgrades.

One of several steps the USDA is taking to boost processing capacity and competitiveness in meat and poultry processing to make agricultural markets more accessible, fair, competitive, and resilient for American farmers and ranchers is helping North Dakotan meat and poultry. You may get more details on each of these programs at usda.gov/meat.