Purchasing the Pilgrim’s Pride Feed Mill in Atkins will allow Wayne Farms to continue to ship grain by rail. Wayne Farms cited the high cost of shipping grain by truck in the decision. The business currently receives about 2,500 rail cars of corn and soy per year.
The Little Rock Western Railway runs from Little Rock to Wayne Farms’ property in Danville. The portion from Little Rock to Perry is owned by Genesee & Wyoming, Inc., and the portion from Perry to Danville is owned by Continental Grain Company, which is owned by Wayne Farms.
The contract requires Genesee & Wyoming to maintain the rail the entire length. The contract was up for renewal this spring, and Genesee decided to terminate the contract and abandon rail service from Perry to Danville.
Wayne Farms employs about 870 people and has another 125 contract growers. The annual payroll is about $32 million.