As COVID-19 pandemic-related shutdowns eased a bit (depending on the part of the United States you happened to be in) and breathed some life back into foodservice demand that had plummeted in 2020, 2021 suggested to meat processors what the “new normal” might mean for their sales and overall company growth.

And for many, it meant strong (even record) sales and a strong growth profile, whether it be for new products or expansion into new markets. But despite the numerous challenges meat processors must contend with in the current economic climate, more than a few Top 100 survey respondents reported having their best year ever in 2021.

While it has been said the three most important thing in real estate are “location, location, location,” for meat processors the three most important things in doing business might be “labor, labor, labor.”

Stubbornly tight labor availability joined supply chain delays and shortages as the top concerns for most respondents. Despite having to vie for inputs, equipment and workers, respondents are seeing the opportunities and not just contending with the challenges while navigating their way through rising cattle prices and inflationary increases on packaging supplies.

"If we can find the labor to fill orders, it should be a good year," Roger Williams, president of Union City, Tenn.-based Williams Sausage Co. Inc. said in the survey.   Williams Sausage Co. reported record sales of nearly $160 million for 2021.

Another record-setting performance was reported by Hormel, with the company setting record net sales, exceeding both $10 billion and $11 billion in sales for the first time in 2021, while also reporting the company’s two greatest net sales quarters in company history. The company reported investing more than $230 million into capital projects to boost production capacity in 2021, while returning a company record $523 million in dividends to shareholders.

Nearly two out of three of Top 100 survey respondents rated 2021 as either “good” or the “best ever” for their companies. Asked about the "greatest opportunity for your business in the coming year," a common refrain from respondents was taking advantage of expansion opportunities in existing markets as well as in new territories along with the growth in value-added products and foodservice business.

Twenty respondents reporting strong 2021 performance said they expect 2022 will be even better for their businesses.

If your company would like to be considered for the 2023 Top 100 Report, email Fred Wilkinson at wilkinsonf@bnpmedia.com.

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