Tyson Foods is closing one of the largest beef processing plants in the country.

The company announced that will close a plant in Nebraska and lay off more than 3,200 people.

The company says the move comes as U.S. beef supplies shrink, hitting their lowest level since the 1950s. Demand has remained steady, however, driving prices to new highs.

Tyson is expecting an operating loss of between $400 million and $600 million this year.