Due to the controversy surrounding Lean Finely Textured Beef – which the media has dubbed pink slime – Beef Products Inc. is closing processing plants in three states. When the plants in Amarillo, Texas, Garden City, Kansas and Waterloo Iowa shut their doors on May 25th – company spokesman Rich Jochum says 650 jobs will be lost. The company’s plant in South Sioux City, Nebraska will remain open – but will run at reduced capacity.
The Department of Economics at Iowa State University will utilize Checkoff dollars to study the economic impacts of the fallout from the slanted coverage of LFTB in the media. ISU’s Dermot Hayes and Texas A&M’s Daniel Otto say nearly three-thousand jobs have been lost or are in jeopardy – along with hundreds of millions of dollars in multiplied sales and tax revenues.
The beef industry has been encouraged to take a more pro-active role in educating the public. H. Russell Cross from Texas A&M suggests failure to do so will lead to public relations disasters of larger proportions in the future – noting the industry has detractors who will be emboldened to use misinformation to further their agendas. Cargill is turning to NASCAR to try to combat the misinformation about LFTB – a filler that’s been used for years and meets federal food safety standards. The company is sponsoring the number 6 car driven by Ricky Stenhouse in 15 NASCAR races this year to promote its finely textured beef.