DES MOINES, Iowa (AP) — Iowa egg producers who euthanized hens as a result of plummeting demand caused by the coronavirus will be eligible for government payments to cover disposal costs, a state agency announced Monday.
The Iowa Disposal Assistance Program has been paying pork producers $40 for each market-ready hog they have been forced to euthanize as a result of supply chain disruptions.
Thousands of hogs were killed statewide as processing plants slowed production in April and May due to coronavirus outbreaks.
On Monday, the Iowa Department of Agriculture and Land Stewardship said the program would be extended for another round of funding and expanded to benefit egg producers.
The department said 70 percent of Iowa egg-laying hen flocks produce for the liquid egg market, which serves restaurants and schools. Demand plummeted as a result of closures that began in March, and the price of liquid eggs dropped by 68 percent. Producers responded by reducing the size of their flocks.
Egg producers will be eligible for 25 cents for each hen that they euthanized and disposed of between April 1 and July 20. They must provide proof of disposal and other documentation when they apply beginning Aug. 6.
Pork producers will be eligible for payments for hogs and pigs disposed of through July 20.