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The plant's storage is also filling up to a certain point while there is cattle in the plant.
The storage is put into the station only when the farm is out of cattle. Then it outputs it with the rate of its current production. When storage numbers go down, production rate will also go down.
In your case, I think one train between a farm and food plant is not enough if it runs 90% full both sides. Tjis seems like your bottleneck, so try to add one more train.
My guess is that the farm doesn't increase production because potential for cattle delivery is limited by this bottleneck.
Also, does your food processing plant's food ultimately have other final destinations? Does it service more than one town? If it does, chances are high that the food it's stockpiling is ear marked for the other towns. - I'm not 100% in that but in my experience, products are made 'to order' with a set destination in mind, not just produced and then assigned.
It 100% does only ship to places that it can link to. The game is actually incredibly smart in that regard. If there is no link (Or a broken link) to a town in the chain, it will not produce anything for that town. It's the same reason why setting up a new supplychain to a factory that's already servicing several end destinations takes a few months to start producing. It looks like there's an abundance of supplies but those supplies were all made ready for other end destinations, not the new one.
Eventually, after letting it run for a year or so, the processing plant started transferring more quickly though. So now the train is running at 100% moving food to the inbound food station by the town, I've added a 2nd line to another town, and it still is keeping food on the outbound food train station.... so what previously couldn't move enough food to keep 1 line at 100% now keeps 2 at 100% and then some?
This game baffles me.
Thanks for the replies everyone, appreciate the help. :)