Montreal-Owned Kosher Meat Plant Hit by Second Fire in Ten Weeks

By Joseph Marshall

A major fire tore through the Montreal-owned Agri Star Meat & Poultry plant in Postville, Iowa, early Tuesday morning, sending thick black smoke across northeastern Iowa and forcing the city to conserve its water supply as crews from several fire departments battled the blaze.

The plant, one of the largest kosher meat processing facilities in the United States, is owned by Montreal businessman Hershey Friedman through SHF Industries. Friedman purchased the former Agriprocessors plant out of bankruptcy in 2009, renamed it Agri Star Meat & Poultry and restarted operations at the sprawling facility.

The fire was reported shortly before 4 a.m. Tuesday. Flames and heavy smoke could be seen coming from several sections of the plant as firefighters from Postville and surrounding communities worked for hours to bring the fire under control. No injuries were reported. The cause of the blaze and the extent of the damage have not yet been released.

The City of Postville asked residents to restrict water use while firefighters drew heavily from the municipal system. Residents were told not to water lawns, wash vehicles or run unnecessary loads of laundry or dishes. Emergency officials also warned that smoke from the fire was moving toward other parts of northeastern Iowa and advised people with respiratory problems to remain indoors.

Tuesday’s blaze was the second fire at the Agri Star plant in less than three months. Firefighters were called to the facility before 2 a.m. on May 13 after a fire broke out in the plant’s boiler or mechanical area. Employees were evacuated and no injuries were reported. Fire departments from Postville, Decorah, Luana, Castalia and Clermont were among the agencies that responded.

The Postville plant has played a central role in the North American kosher meat industry for nearly four decades. Agriprocessors was founded by Brooklyn butcher Aaron Rubashkin, who purchased an abandoned meat processing plant in Postville in 1987. The company grew rapidly, producing kosher beef and poultry for customers across the United States and Canada and becoming one of the largest kosher meat companies in North America.

That growth came to an abrupt end following a massive federal immigration raid in May 2008. Hundreds of workers were arrested, production collapsed and the company entered bankruptcy later that year. The raid devastated Agriprocessors and caused a major economic crisis in Postville, where the plant was the town’s largest employer.

In 2009, Friedman formed SHF Industries and purchased the plant’s assets out of bankruptcy. Friedman, a Montreal businessman whose other companies operated in the packaging, plastics and machinery industries, renamed the company Agri Star Meat & Poultry. He invested millions of dollars in restarting production, modernizing the facility and rebuilding the kosher beef and poultry operation.

The May and July fires are not the first serious incidents at the plant since the Montreal ownership group took over.

In November 2013, a fire began in a dryer that had been left running in a lower-level laundry room. The fire damaged part of the first floor, but firefighters prevented it from spreading to areas where cardboard, foam packaging and chemicals were being stored. No one was inside the plant when the fire began and no injuries were reported. Investigators determined that the fire was accidental.

Two workers were injured in February 2021 when a propane tank explosion damaged part of the plant. Authorities said a forklift had damaged a hose connected to a 100-pound propane tank, allowing gas to fill the room before it ignited. Parts of the building’s south and west walls collapsed, although much of the plant continued operating following the explosion.

The plant has now experienced two fires within ten weeks, with Tuesday’s blaze appearing far more extensive than the fire in May. Videos from Postville showed flames burning through portions of the building and a heavy column of smoke rising above the community for several hours.

Agri Star has not said which parts of the plant were damaged, whether production can continue in unaffected sections or how long operations may be disrupted. There has also been no confirmation of whether livestock, processed meat or other inventory was lost.

The fire’s impact could extend well beyond Iowa. Agri Star remains one of the most important kosher meat producers in North America and the plant is a major source of employment in Postville. A lengthy shutdown could affect hundreds of workers and disrupt the supply of kosher beef and poultry to retailers across the United States and Canada.