Tyson Foods to Expand Tennessee Poultry Processing Plant

Tyson Foods will invest $84 million as part of an expansion program at its poultry processing facility in Union City, Tennessee. The Springdale, Arkansas, USA-headquartered company announced on August 16 that more than 300 jobs will be created by the project, which is expected to be completed by mid-2019.

“Customer and consumer demand for protein, especially chicken, is increasing so we’re investing in projects that build on our strengths, expand our capabilities and increase our capacity,” said Doug Ramsey, group president of poultry. “Expansions like this position us to grow and support our customers.”

The project, set to begin this fall, will increase capacity to the plant’s existing harvest area, add processing lines, as well as upgrades to supporting operations at the hatchery, feed mill and in the transportation sector. About 25,000 square feet will be added to the facility’s footprint.

“Tyson has been an integral part of Obion County for 20 years and I’m pleased to see the company move forward with this expansion in Union City,” said Tennessee Governor Bill Haslam. “With more than 1,000 employees in West Tennessee, the company’s impact on the community extends to the local farmers supported by its operations.”

In order to meet the new capacity of the facility, nearly 200 more broiler chicken houses will need to be built in northwestern Tennessee within the next two years. Independent farmers who may want to supply Tyson are encouraged to visit the Grow With Tyson website to learn more about the process and make initial contact with the company.

“We’d like to thank the Tennessee Valley Authority, the Tennessee Department of Economic and Community Development, and the Northwest Tennessee Economic Development Council for their assistance and support for this project,” said Ramsey.

The Union City plant, which makes partially fried chicken products for foodservice customers, opened in 1997. The facility employs more than 1,000 people and paid nearly $32 million in wages during its 2016 fiscal year. Annual payout for farmers who raise chickens for the plant was more than $15 million.

The company also operates facilities in Goodlettsville, Newbern and Shelbyville, Tennessee, providing jobs for about 5,000 people and an annual payroll of more than $181 million. Tyson Foods paid Tennessee poultry growers over $61 million in its 2016 fiscal year and estimates its total statewide impact to be $313 million.