State Aids Modernization of Meat Plant

Shown is the Agriprocessors kosher meatpacking plant, Wednesday, Aug. 13, 2008, in Postville, Iowa. A May 12, 2008 raid by Immigration and Customs Enforcement at Agriprocessors, the world's largest kosher meatpacking plant in Postville, Iowa, was the largest immigration raid in U.S. history at the time. Agriprocessors is Postville's biggest employer. (AP Photo/Charlie Neibergall)

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By Becky Ogann

Story Created: Nov 19, 2009 at 11:47 AM CST

Story Updated: Nov 19, 2009 at 11:47 AM CST

DES MOINES (AP) - The state of Iowa has given $600,000 in state assistance, plus tax credits to the new owners of the former AgriProcessors in Postville.

The assistance will help boost a proposed $15 million modernization of the Kosher beef and poultry meatpacking plant. The plant was closed and is now in limited operation after a May 2008 raid that led to the arrest of 389 illegal immigrants.

According to state documents, Agri Star Meat & Poultry hopes to introduce a new line of oven-baked beef and chicken.

The Iowa Economic Development Board agreed to provide the company with loans and grants, plus an estimated $941,652 in tax credits, based on the company's capital investment in the plant.

Economic Development Board member Robert Riley says the plant is important to the northeast Iowa community and state.

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