Impacts of Hurricane Helene and Milton Felt Across the Poultry Industry

Hurricane Helene hit the southeastern United States in late September and caused a major hit to the poultry industry. The storm has damaged and destroyed multiple plants and has disrupted operations. It could be a long time before the full impact on the greater agriculture industry in the southeast is fully known. However, Georgia Governor Brian Kemp said its damages will likely be more severe than the ones left by Hurricane Michael in 2018¹.

According to Gov. Kemp, 107 poultry facilities have been damaged or totally destroyed, 15 dairies have been affected, and many more.¹ Leaving Georgia and other states in dire need of assistance. Some of the companies affected are House of Raeford Farms, Wayne-Sanderson Farms, Pilgrim’s Pride, Butterball, and Claxton Poultry. As of October 1, some of the poultry plants that were affected have returned to production, with a few remaining offline.²

Economic Impact: Billions of Dollars in Losses

Helene’s impact alone has cost the overall ag industry in Georgia an estimated $6.64 billion, with losses among farms and forests totaling near $3.2 Billion.³ Unfortunately, the impacts have expanded after Hurricane Milton made landfall in Florida just a few weeks later. Milton has caused an estimated $55 million in damage to the poultry industry in Florida.³

The impact on the poultry industry is going to be felt by poultry and egg consumers across the United States as majority of broiler and egg producers are in the southeastern part of the country. Not only have operations been impacted, but delivery disruptions are also imminent.⁴ Consumers can expect the supply of poultry and eggs to decrease, which will likely cause an increase in prices. The larger impact will not be known until prices come out for the month of October.

With the poultry industry already suffering from losses due to avian flu, this is just another hit to production, and egg and poultry producers continue to face challenges with supply.⁵

Food Industry Responds with Donations & Support

The aftermath of both Helene and Milton has left thousands of residents without clean water and transportation issues have made it nearly impossible for food and clean water to get to residents in need. It was reported that nearly a week after Hurricane Helene hit the western part of North Carolina, a large tanker truck delivered 5-gallon containers, milk jugs, and buckets to fill with clean drinking water.⁶ In the wake of all the devastation, companies and organizations have come together to provide resources such as food and drinking water for residents.

Many industry organizations have come together to offer support. The Food Industry Association (FMI) created a resources page to help manufacturers, farmers, and residents impacted by the hurricanes find the information needed to respond to this emergency. Access the resources you need here.⁷ Food producers and grocers have also offered support to both manufacturers and residents who are in need including Kroger, Publix, Lowes Foods, Coca Cola, McDonalds, PepsiCo, Walmart, and Hy-Vee.^8,9

Kemin is Committed to Serving Our Customers

During these challenging times, Kemin Food Technologies is committed to serving our customers affected by the devastation in the southeastern United States. We do our best to get our customers their food ingredients on time and of high quality, even when times are challenging and our on-time delivery rate of 98% confirms this. Our dedicated supply chain professionals work diligently to predict any disruptions before they occur. Kemin remains committed to the food industry and providing our customers with reliable and consistent support.

References:

1. https://www.wattagnet.com/broilers-turkeys/article/15704638/us-poultry-industry-harshly-hit-by-hurricane-helene

2. Poultry plants gradually resuming production after Helene | WATTPoultry.com (wattagnet.com)

3. Meatingplace.com : Ag industry tally under way on Ga., Fla. hurricane damage

4. Hurricane Milton deals estimated $160B blow in damage, economic loss - FreightWaves

5. https://www.nerdwallet.com/article/finance/why-are-eggs-so-expensive

6. https://apnews.com/article/hurricane-helene-asheville-north-carolina-water-737bd51b1351315dc28522e36c425f18

7. https://www.fmi.org/industry-topics/crisis-management/hurricane-resources

8. https://www.theshelbyreport.com/2024/10/02/grocers-send-relief-to-communities-impacted-by-hurricane-helene/

9. https://ccc.bc.edu/content/ccc/blog-home/2024/10/companies-respond-hurricanes-milton-helene.html

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