Loan approved for Independence pet treat plant

DES MOINES – A subsidiary of Tyson Foods plans to launch a new line of pet treats at an eastern Iowa plant that company officials predict will revolutionize the $3.4 billion pet food market.

The project by Provemex International Holdings, Inc., an indirect wholly owned subsidiary of Tyson Foods, involves revitalizing a closed industrial building in Independence and starting production in early 2010 of a line of pet treats that will employ “human-food standard processing techniques,” said company spokesman Dave Hogberg.

The new division expects to process over 1.5 million pounds of raw materials from other Tyson U.S. facilities – including several in Iowa – using processing technique and principles typically found only within human food facilities “that ultimately will result in pet treats whose qualities surpass products in the market today,” according to a project report filed with the Iowa Department of Economic Development.

The state Economic Development Board voted today to approve state incentives, including a $400,000 forgivable loan, to help bring the project to Independence. Initially, the product line will utilize about 40,000 square feet of production space, but Tyson officials expect the operations will expand to 100,000 square feet and employ about 105 workers.

According to the application, Tyson Foods intends to build and expand the business with new products over the next 30 months and ultimately fully utilize the Independence plant. Hogberg said the pet treats market had demonstrated consistent growth of 8 percent annually and is expected to continue to expand.

Also today, the state board granted disaster recovery application waivers and approved state assistance for three Cedar Rapids projects – Raining Rose, Inc., JRS Pharma LP, and Iowa Screenprint Co. which does business as Bimm Ridder Sportswear. Board members also approved a revolving loan fund for local business assistance for nine communities that included Waterloo's downtown district and the Czech Village/New Bohemia area of Cedar Rapids.