Severe Winter Storm Causes Major Setbacks for Arkansas Poultry Sector

Recent evaluations by the University of Arkansas Division of Agriculture reveal that a severe snow and sleet storm in January inflicted devastating damage to the poultry industry in the state, with total losses exceeding $200 million.

Infrastructure Damage Assessment

The extreme winter conditions had a detrimental impact on farm infrastructure, particularly affecting poultry grow houses and associated structures. Agricultural economists at the university estimate that the structural damage ranges between $172 million and just over $202 million.

Extent of Damage to Poultry Facilities

A comprehensive survey conducted statewide by the University of Arkansas Cooperative Extension Service found that numerous poultry facilities were adversely affected. In total, 241 poultry houses were reported as completely destroyed during the storm, while an additional 91 sustained varying degrees of damage. These facilities included operations raising broilers, breeder flocks, and turkeys, impacting birds at multiple production stages.

Economic Impact and Poultry Losses

Beyond structural damages, the storm resulted in significant poultry deaths valued at approximately $12.08 million. Consequently, producers are projected to experience a combined reduction in farm income of about $26.83 million.

Broader Economic Ripples

The repercussions are expected to extend beyond the immediate poultry sector, affecting the broader supply chain over the coming year. Analysts predict that the supply interruption alone could lead to economic losses near $21.74 million. Taking into account reduced production capacity and its subsequent effects on related businesses and consumer spending, the total statewide economic impact tied to lost poultry production is estimated to approach approximately $48.26 million.