Investing.com -- Shares in a host of poultry producers fell on Wednesday after officials confirmed cases of bird flu in Arkansas and Missouri earlier this week.
On Tuesday evening, the National Veterinary Services Lab confirmed the presence of avian flu in a turkey flock in Boone County, Arkansas, officials from the Arkansas Livestock & Poultry Commission told KFSM in Arkansas. The U.S. Department of Agriculture (USDA) also confirmed the disease in a flock in Missouri, multiple outlets reported.
Tyson Foods Inc. (NYSE:TSN), the world's second largest marketer and processor of chicken, beef and pork, closed on Wednesday as the worst performer on the S&P 500. Shares in the multinational corporation based in Springdale, Ark. plunged 5.61% or 2.23 to 37.55. Shares in Sanderson Farms Inc (NASDAQ:SAFM) dropped nearly 5.7% to 77.85 after dipping more than 1.75% in after-hours trading, while shares in Pilgrims Pride Corp (NASDAQ:PPC) were down more than 4% to 25.36.
Officials from Butterball, which is owned by Seaboard Corporation (AMEX:SEB), confirmed that a limited number of turkeys in both states had been diagnosed with bird flu, CNN Money and the Wall Street Journal reported. Tyson Foods and Sanderson told CNN that none of their flocks had been affected.
In January, the USDA confirmed the presence of H5N8 avian influenza in a commercial flock of turkeys in Central California. All bacteria and viruses related to H5N8 can be eliminated if eggs and poultry are properly heated to 185 degrees Fahrenheit, according to the USDA.
The current outbreak could impact poultry exports. Several foreign countries imposed import restrictions on poultry from the U.S. following the outbreak in January.