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Planned Tyson Chicken Plant Hits Hurdle -- Market Talk
15:42 ET - Weeks of residents' pushback and yard signs protesting Tyson Foods' planned $320M chicken-processing plant in the 5,300-person town of Tonganoxie, Kan. have helped create an obstacle for the top US meat company. Leavenworth County's board of commissioners at a Monday morning meeting voted 2-1 to rescind an earlier motion that supported $500M in industrial revenue bonds as part of an economic incentive package for the proposed Tyson plant, a move that commissioners said effectively would restart the evaluation process. "The board is going to endeavor to do everything in an open, transparent fashion," says Chairman Doug Smith. Tyson spokesmen have no immediate comment on the move. (email@example.com; @jacobbunge)
Brazil's JBS Shares Fall After Founder Returns as CEO Amid Scandal -- Update
SÃO PAULO -- Brazil's JBS, the world's largest meatpacker, has sparked fierce criticism by putting its 84-year-old founder back in charge of the family-run company after both his sons were jailed, ignoring shareholders' pleas to bring in outside management.
José Batista Sobrinho will take over as chief executive until May 2019, steering JBS through a mammoth corruption scandal with the help of his 26-year-old grandson as an adviser. Shares in the company, which owns brands Swift and Pilgrim's Pride in the U.S., slumped as much as 4% in early trading Monday.
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Watchdog Criticizes USDA Over Organic Imports -- Market Talk
13:44 ET - The USDA hasn't been able to ensure that imported crops and produce labeled as organic really meet US organic standards, according to an audit by the US Office of Inspector General. The USDA needs to review documents certifying US organic standards are followed, the OIG says, and right now, "the lack of controls at US ports of entry increases the risk that non-organic products may be imported as organic into the United States." That could leave consumers unfairly paying a premium for nonorganic foods, while making it harder for rules-following US organic producers to compete, the OIG says. The USDA says it's crafting a rule that will require import certificates for all organic imports, but the OIG audit says USDA needs help from other agencies to check and enforce these. (firstname.lastname@example.org; @jacobbunge)
Taco Bell To Add 300 Urban Locations By 2022 -- MarketWatch
Taco Bell, the Yum Brands Inc. (YUM) Mexican chain, plans to add 300 restaurants in urban areas by 2022. New York is seen as the quick-service brand's largest market opportunity, the company said, with about 50 planned for the city's five boroughs. Five restaurants will be complete by early 2018. Four of them will be Cantina locations, which serve alcohol, and one will be an "Urban In-line" location that does not. In addition to New York, Chicago, Detroit and Boston are among the areas of focus. About 20 of the locations will be in Chicago, with eight Cantinas planned by the end of 2018. Both Cantina and In-line locations have opened nationwide since 2015. Taco Bell plans to grow to about 9,000 global locations in the next five years from more than 7,000 currently, and it plans to create about 100,000 new jobs. Yum Brands shares are up 19.6% for the year so far while the S&P 500 index is up nearly 12% for the period.
Hog Futures Fall on Supply Concern; Cattle Mixed
Hog futures started the week lower as large supplies strained the market.
October lean hog contracts at the Chicago Mercantile Exchange fell 1.6% to 60 cents a pound on Monday. Analysts said 60 cents was important technical support.
Zumbrota, Minn Hog $1.00 Lower At $34.00 - Sep 18
Barrow and gilt prices at the Zumbrota, Minn., livestock market today
are $1.00 lower at $34.00 per hundredweight.
Sow prices are $3.00-$4.00 lower. Sows weighing under 450 pounds are $26.00-$28.00,
400-450 pounds are at $26.00-$28.00, 450-500 pounds are $26.00-$28.00 and
those over 500 pounds are $30.00-$32.00.
The day's total run is estimated at 100 head.
Prices are provided by the Central Livestock Association.
Estimated U.S. Pork Packer Margin Index - Sep 18
All figures are on a per-head basis.
Date Standard Margin Estimated margin
Operating Index at vertically -
Sep 18 +$48.46 +$ 36.11
Sep 15 +$45.92 +$ 36.46
Sep 14 +$48.74 +$ 39.81
* Based on Iowa State University's latest estimated cost of production.
A positive number indicates a processing margin above the cost of
production of the animals.
This report compares the USDA's latest beef carcass composite
values as a percentage of their respective year-ago prices.
For Today Choice 103.4
(Percent of Year-Ago) Select 105.0
USDA Boxed Beef, Pork Reports
Wholesale choice-grade beef prices Monday rose $1.20 per hundred pounds, to $192.62, according to the USDA. Select-grade prices rose $1.85 per hundred pounds, to $187.70. The total load count was 115. Wholesale pork prices fell 16 cents, to $77.20 a hundred pounds, based on Omaha, Neb., price quotes.
(END) Dow Jones Newswires
September 18, 2017 17:34 ET (21:34 GMT)