processed, she said. She makes ….

processed, she said. She makes appointments to bring her animals to her processor one year ahead of time, and farmers not planning that far in advance are struggling to get their animals butchered.

“Finding a place to have your animals processed is a big challenge right now,” Schneider said. “I feel really lucky to have a processor I really like, but many farmers aren’t in that situation.”

A meat processing shortage in Wisconsin and elsewhere has been present for some years, and it was exacerbated by the pandemic. When meatpacking workers at large plants contracted the COVID-19 virus, output from those plants was reduced significantly, straining a sector that already lacked enough processors even before the pandemic.

That, in turn, created overwhelming demand for the smaller meat processors and revealed the shortage of those processors. For a time the amount of meat available at groceries was reduced, and already long waits to butcher farmers’ animals grew even longer.

Gov. Tony Evers’ administration has worked to address the meat processing shortage in Wisconsin. Among those efforts are the $10 million Meat and Poultry Supply Chain Resiliency Grant Program made available through American Rescue Plan Act (ARPA) funding and the Meat Talent Development Program, funded by $5 million in ARPA money. Another $200,000 to help meat processors across the state expand their operations was approved as part of the 2021-23 state budget.

Four meat processing companies – Cargill, JBS, Tyson Foods, and National Beef Packing – control more than 80 percent of the beef market in the U.S. When those processors experienced processing disruptions during the pandemic, the resulting meat shortage at groceries revealed the need for more, smaller meat processors.

Wisconsin Farmers Union and other organizations have advocated for diversifying the meat processing sector, a move that provides jobs for more processors while shortening wait times to butcher animals, Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) Secretary Randy Romanski said.

“We have a real need to expand our meat processing capacity, and enabling more processors to enter the market not only meets an important need but can add to the economies of our rural communities,” Romanski said.

Applications for expansions by meat processors were so numerous, he said, that the state increased the maximum $50,000 grant limit to $150,000 per processor seeking to expand. In addition to money needed for growing their operations, meat processors said they need more workers, Romanski said. The Meat Talent Development Program will address that, he said, by providing training through Wisconsin technical colleges.

“There is a lot happening right now to help address the meat processing shortage,” Romanski said, “and we plan to have even more efforts in the future. We recognize the importance of this issue.”

To provide more opportunities for farmers to sell their meat and to get food to people in need during the pandemic, DATCP partnered food distribution agencies like Feeding Wisconsin and Hunger Task Force. Those agencies in turn began using ARPA funding they received to purchase more food, including meat, from small- and medium-size farms.

“We are making an intentional effort to purchase food from smaller farmers whenever we can,” said Stephanie Jung Dorfman, executive director of Feeding Wisconsin. “We are still certainly partnering with commodity associations and big producers, but we are paying market prices to smaller farmers, and that is helping them while also getting high-quality meat and other foods to consumers regionally.”

Lautsbaugh was among recipients earlier this year of a $50,000 state grant to expand his processing plant. With the grant maximum being raised to $150,000, he has applied for another $100,000 and is hopeful about receiving that funding too.

That money is needed to help pay for his expansion that will cost an estimated $7.5 million to $8 million and expand Crescent Meats’ processing capacity from 3,000 to 7,000 animals annually. With the expansion, the company’s processing plant would grow from 12,000 square feet to 32,000. Expansion is possible in large part, Lautsbaugh said, because of so many more farmers marketing their meat directly to consumers instead of selling to large buyers.

“That’s been a big change from when I first started in this business,” he said of direct sales. “There is a lot more awareness about where meat comes from, and more people are willing to pay for what they want.”

While demand for his services are high now, Lautsbaugh worries that could lessen as the economy progresses past the pandemic. He also is concerned about finding enough workers, noting he needs 20 to keep up with demand now but only has 16.

Schneider said the meat processor she takes her animals to also plans to expand to meet demand. But, like Lautsbaugh, that processor also is scrambling to find enough employees, Schneider said.

“(Meat processing) is another industry that is struggling to find enough workers,” she said.

Despite challenges, Lautsbaugh is heartened by the significant uptick in meat processing business in recent years. He said he hopes that will continue as more people are concerned about eating healthy food.

Even before building an addition to his business, Lautsbaugh is growing it through ICON, a meat brand specializing in meats such as elk, bison and venison that he is part owner of. ICON products are sold in 30 U.S. states, he said.

Meat processing is a family affair for Lautsbaugh. His wife Stacey oversees the company’s finances, and his son Vance and daughter Samantha are involved in the business. In fact, if it weren’t for them, Lautsbaugh said he wouldn’t be expanding his meat processing plant.

“Operating this business was a struggle for many years,” he said. “But we worked hard to make a good product and build relationships … There are still struggles. This is a hard business. Not everyone wants to do this kind of work. But to wake up every day and work with your entire family is a blessing.”