Del Monte Foods is set to shut down operations at its facilities in Toppenish, Washington, and Markesan, Wisconsin. This move is part of the company's strategy to adjust its production capabilities in response to the current market demand. The cessation of production is scheduled for April 26, with subsequent activities related to labeling and distribution projected to extend into the autumn season. The workforce at these locations comprises 90 employees in Wisconsin and 127 in Washington, as indicated by WARN notices.
In communication with Food Dive, a spokesperson for Del Monte Foods highlighted a shift in consumer purchasing patterns to pre-pandemic levels, necessitating a re-evaluation and consolidation of the company's manufacturing footprint. This adjustment aims to better align with consumer demand. The spokesperson further noted ongoing negotiations with the union in Toppenish regarding the implications of the facility's closure, with a commitment to providing support and resources to the impacted employees.
The Wisconsin and Washington plants were primarily engaged in the processing of green beans, corn, and peas. The closures reflect a broader trend within the food and beverage industry, where companies are reconfiguring their operational frameworks to enhance efficiency and reduce overheads, amidst fluctuating consumer demand post-COVID-19.
Source: fooddive.com