Tom Polansek

CHICAGO (Reuters) – A Deere (NYSE:) & Co dealership and a Pilgrim’s Pride (NASDAQ:) Corp chicken hatchery were destroyed when deadly tornadoes swept through Kentucky on Friday, while silos holding millions of bushels of corn suffered damage, the state’s agriculture commissioner said on Monday.

After a tornado swept through six states, at least 64 people lost their lives, six of them children, in Kentucky.

Ryan Quarles is Kentucky’s agriculture chief. He stated, “We have a 200 mile stretch through Kentucky that has pulled down grain systems, destroyed chick hatcheries, and of course, blown-over barns.”

This destruction could increase already high prices for chickens and cause more supply-chain problems.

Quarles reported that Kentucky’s number one agricultural product, poultry, was destroyed in at least twelve chicken barns. Quarles said the state will work with the U.S. Environmental Protection Agency (EPA) to dispose of chickens in distress that have been housed within barns.

To assess the damage, Joe Biden, the President of the United States will visit Washington on Wednesday.

Quarles reported that a Pilgrim’s Pride hatchery near Mayfield in Kentucky which provided chickens for local farmers had been closed down.

Quarles stated that damage to the hatchery can “automatically trigger a multi-month delay when processing and raising chickens because it simply isn’t there anymore to supply farmers.”

Pilgrim’s Pride, in which most Brazilian meatpackers are owners JBS SA (OTC:) didn’t immediately reply to a request of comment.

Mayfield, Kentucky’s highest county, accounts for 6% of total state farm sales. However, the state isn’t a major grain producer. According to the USDA, Kentucky had 1.5% U.S. corn stock in December 2020.

Numerous farmer elevators have been damaged. Andrew Jackson from Producers Hedge in Lancaster said some feed mills may have sustained damage that will not be repaired in a short time.

Quarles explained that Mayfield Grain Company is a grain handler and removed roofs from parts of the storage system holding 6 million bushels. It’s enough corn for two Panamax vessels, each about the size of two football fields.

Images posted on Twitter (NYSE 🙂 revealed yellow corn from bins that had lost their roofs. No immediate comments were made by the company.

Quarles explained that there are millions of bushels worth of corn. “Much of it was freshly harvested and is now being damaged by the elements.”

“We are trying to find ways to both recover spilled grains and divert grain storage and movement to other facilities throughout the state.”

Quarles indicated that farmers will be able to find buyers for grain in a downturn in demand, despite the loss of poultry producers and animals.

Hutson Inc., which sells Deere products, stated that its Mayfield flagship store was destroyed by “one of the most devastating natural disasters ever to hit the state.”

Josh Waggener, Chief Executive of Waggener stated that workers “waddled through the debris and used whatever equipment they could salvage in order to aid with rescue efforts at an candle plant next to us that suffered mass casualties.”

Deere didn’t immediately respond to a question about the dealer.

Quarles claimed, “It is just completely gone.”