These Incentives Will Help Pork Production Plant
- Brooke Bouma Kohlsdorf
- 5 days ago
- 3 min read
JBS, a global company with operations in 15 countries, announced earlier this year it plans to bring a new facility and new jobs to the town of Perry, Iowa. Iowa economic development leaders put together an incentives package to help make the deal happen.
The Iowa Economic Development Authority board voted in June to help JBS Foods pay for the facility by awarding the company $12 million in tax benefits. The money will come through its High Quality Jobs program.
Iowa Incentives Pave the Way for JBS Pork Facility in Perry
Here is how the agency describes that program on the Economic Development & Finance Authority website:
“The High Quality Jobs (HQJ) program provides qualifying businesses assistance to offset some of the costs incurred to locate, expand or modernize an Iowa facility. This flexible program includes loans, forgivable loans, tax credits, exemptions and/or refunds. The Iowa Economic Development Authority offers this program to promote growth in businesses, which employ Iowans in jobs defined as high-quality by state statute.”
New Jobs and New Hope for Perry After Tyson Closure
The proposed JBS facility is welcome news for the town of Perry after Tyson Fresh Foods announced in March of 2024 that it was closing its meat processing plant that employed about 1,200 people in the Dallas County town of around 8,000 residents.
RELATED: American Farmland Owner covered the closing of the plant and the struggles in the hog industry.
Governor Kim Reynolds welcomed the announcement of the pork sausage plant, saying it was tremendous news for both Perry and Iowa.
“This investment by JBS reflects confidence in Iowa’s workforce, our strong agricultural economy, and our commitment to growing vibrant communities. At a time when Perry has faced real challenges, this investment brings renewed hope and opportunity for the hardworking families who call this community home.
JBS plans to build a new 150,000-square-foot animal harvest facility to produce sausage. According to the Economic Development and Finance Authority, the project represents a capital investment of $137 million and is expected to create 250 jobs, of which 57 are incented at $31.10 per hour.
This is what the company said about opening the plant in Iowa:
“Perry represents everything we value in a community: hard work, strong producer roots, and people who understand the importance of feeding America,” said Wesley Batista Filho, CEO of JBS USA.
“This investment underscores our commitment to rural America and our confidence in the strength of the U.S. market. We plan to be a long-term partner for Perry and, if approved by the community, the facility will help foster job creation and economic stability in the region,” the statement read.
Iowa Pork Producers CEO Pat McGonegle told American Farmland Owner in June that this new plant is positive news for Iowans who raise sows because it opens new opportunities. He said there are currently about 5,000 pork producers in Iowa.
When the Tyson Foods plant shut down, some of those producers had to find an alternative for their sows. “There is currently one other outlet in Iowa, so this gives producers another alternative,” McGonegle said about the new possibility in Perry.
What the New JBS Pork Plant Means for Iowa Producers
Giving producers another option can be critical in terms of trimming expenses. Right now, some of the producers are forced to transport out of state and foot the bill for the trip. “It varies, but in most cases, it is the responsibility of the producer,” McGonegle said.
JBS currently has operations in Council Bluffs, Marshalltown, and Ottumwa, employing more than 5,300 Iowans. The new Perry facility, which is expected to be fully operational in late 2026, will serve as one of the company’s key prepared foods operations.
