Fire Imperils Kosher Meat Supply Ahead of Holidays

A fire that started in Postville, Iowa Tuesday has destroyed at least 75% of the AgriStar Processing meat plant in whose laundry room the fire started.  This has put more than 600 people out of work, Fire Chief Jeff Bohr told KCRG, the local TV network; and will likely cause a jump in kosher meat prices right in time for the High Holy Days, according to OU Kosher.

“The damaged facility means a significant portion of kosher beef and chicken slaughtered and sold in the US will not enter the kosher supply chain,” Rabbi Moshe Elefant, the organization’s CEO, said in a statement on Wednesday. “Kosher consumers will feel the impact of the tightening supply with reduction of availability.

OU kosher was working to “find solutions for ramping up production at other plants” while warning that the crisis could fuel bad actors, it continued.

“Unfortunately, when supply is limited, it creates opportunity for unscrupulous individuals who seek to make money by preying on the well-meaning Kosher observant public,” it said.

The executive director of the Jewish Federation of Greater Des Moines, Jarad Bernstein told the JTA that the fire represented “a terrible situation” and that the impact on the local community and businesses would be great.

AgriStar Processing, once known as Agriprocessors, was the company of the infamous Sholom Rubashkin who, after a federal immigration raid at the plant in Postville, was convicted of 86 counts of bank fraud, mail fraud, and money laundering.  He was sentenced to 27-years in prison, which were communted by President Donald Trump in 2017.  The affair led to an exodus of Postville’s Jewish residents ending a period of strong growth of Orthodox life in the eastern part of the state.

Canadian Jewish billionaire Hershy Friedman acquired Agriprocessors, renaming in AgriStar, in an effort to restore competition and fair prices to the Jewish community. 

“During the time Rubashkin was closed, the price of beef roughly doubled. After we acquired it, it came right back down,” he told JTA in 2016.  At the time, he said that he had improved the company’s employment practices and slaughter process after rebuke from, respectively, the government and animal rights activists.

In a statement Wednesday, Agri-Star said that it appreciated the first responders who “worked tirelessly and selflessly to protect lives and contain the fire” and the employees who had shown “inspiring” care for each other. It also indicated that it did not yet know the future of the plant.

“We understand there are many questions about what comes next,” the company posted on social media. “While we are still gathering information and evaluating our short-term plans, we are committed to sharing verified updates as soon as they become available. We appreciate your patience as we work through this process thoughtfully and responsibly.”