There has not been a new packing plant built in the region for over thirty years. The Colorado Lamb, LLC harvest facility will help alleviate the constricted flow of lambs from pasture and feedlots that bottleneck into the limited capacity of existing processing plants. The bottleneck at the packer level periodically creates a backup of lambs in feedlots and on pasture, resulting in a less desirable product when lambs must be held on feed and canít be slaughtered on time.
Colorado Lamb, LLC will provide a much-needed source of lamb carcass availability, giving breaker-only businesses a new opportunity to buy American Lamb. Lambs from all over the western and mid-west United States flow through Colorado feedlots on the way to processing plants. Packer concentration is a problem in the lamb market, as only a few large-scale slaughter plants exist in the U.S. Reduced competition drives down market prices, cutting into the profitability of lamb producers, feeders, and breakers. A new processing plant will give American lamb producers and feeders expanded marketing opportunities for their lambs.