Tyson Foods Enters Fats and Oils Joint Venture

The vertically integrated venture with Jacob Stern & Sons is positioned to meet evolving global demands for fats and oils.

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DAKOTA DUNES, SD and HOUSTON, TX — Tyson Fresh Meats, the beef and pork subsidiary of Tyson Foods, and oleochemicals distributor Jacob Stern & Sons, Inc. have launched a joint venture, JST Global, LLC, to serve the worldwide fats and oils market. Specific terms of the venture are not being disclosed. 

Beef and pork by-products of the fresh meats business, along with fats and oils derived from other sources, are key ingredients in thousands of products in such diverse industries as pharmaceuticals, personal care, and animal nutrition, plus the rapidly developing field of renewable fuels. 

“Jacob Stern and Tyson Fresh Meats have enjoyed a strong relationship for over 50 years. Combining Tyson’s vast supply of animal fats with Jacob Stern’s Texas operations is a natural evolution and positions JST Global to meet growing worldwide demand,” said Phil Bernstein, Chairman, Jacob Stern & Sons. 

Tyson Fresh Meats, based in Dakota Dunes, SD, currently operates six beef plants and six pork plants in the U.S. Jacob Stern & Sons is among Tyson’s largest customers for animal by-products and is the largest U.S. processor and marketer of animal fats. 

“We maximize the value of every animal we harvest so that no part of the animal goes to waste,” stated Steve Stouffer, group president, Tyson Fresh Meats. “Responsibly processing fats and oils are a key part of our business and our commitment to sustainability. This joint venture gives us the opportunity to continue to value-up our beef and pork production, enabling us to innovate in new untapped markets while continuing to work directly with existing animal fat customers and the emerging renewable energy market.”

Following a transition period, the marketing of all animal fats generated by Tyson Fresh Meats will be conducted by JST Global teams in Houston, Dakota Dunes, and Omaha. Jay Van Valen, formerly President of Jacob Stern & Sons’ Texas Division, will serve as Chief Executive Officer of JST Global, which will maintain its headquarters in Houston. The Jacob Stern & Sons and Tyson Fresh Meats sales teams will collaborate to provide a seamless transition for customers.

Van Valen said, “With a secured supply, JST Global is strongly positioned to address the global demand for commodity and value-added animal fat. JST Global’s scale and broad capabilities are key differentiators that will allow us to deliver customized solutions, particularly in highly specialized markets such as renewable energy.”

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