Agriprocessors Kosher Iowa Plant to Stay Open

(MoneyWatch)  Agriprocessors is still keeping secret the identities of at least twelve bidders on its Postville, Iowa slaughterhouse, the site of the company's recent legal troubles. But yesterday the company's court-appointed Chapter 11 Operating Trustee, Joseph Sarachek, said the bidders have all agreed to keep the business open in Postville, and all are companies with experience in the food industry.

Agriprocessors recently filed for bankruptcy, and several high level employees are facing criminal charges after a May immigration raid turned up almost 400 undocumented workers. Former CEO Sholom Rubashkin has been in custody since November on charges of fraud, identity theft and harboring illegal immigrants. He was denied bail in December on grounds that he might be a flight risk; another manager reportedly fled to Israel.

The Postville plant was forced to shut down briefly but is now operating at limited capacity. As Agriprocessors supplied approximately 60% of the country's kosher meat, its reduced operations have led to a supply crisis.

Kosher meat must be killed according to Jewish law and under the supervision of a rabbi. However, Mintel found that demand for kosher meat is increasing even among non-Jews, because a growing number of consumers "trust it to be safer."