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Del Monte Shutting Down Production At Four U.S. Facilities

Del Monte

Del Monte Pacific Ltd. (DMPL) said Aug. 20 that it will move to an asset-light strategy and divest several production facilities of its U.S. subsidiary Del Monte Foods Inc. (DMFI), which is based in San Francisco.

Del Monte facilities in Sleepy Eye, Minnesota, and Mendota, Illinois, will cease production at the end of the current pack season, while the Cambria, Wisconsin, facility will be sold as an operating facility after completion of pack. Del Monte also will sell the manufacturing assets of its Crystal City, Texas, facility. Production at this site will be transferred to outside locations later this year. 

DMPL said production at these locations will be primarily transitioned to other Del Monte production facilities in the U.S. It has a total of 10 plants prior to the closings and sale.

According to a news release, “Closures offer the company the ability to fully utilize the capacity of its existing production facilities and increase its focus on branded growth and innovation.”

“This decision has been difficult and has come after careful consideration. This restructuring is a necessary step for us to remain competitive in a rapidly changing marketplace. Our asset-light strategy will lead to more efficient and lower cost operations,” said Joselito D. Campos Jr., managing director and CEO for Del Monte Pacific Ltd. “We are committed to doing all we can to provide the affected employees with resources and support.”

DMPL heritage brands include Del Monte, S&W, Contadina and College Inn. The company also has exclusive rights to use the Del Monte trademarks for packaged products in the U.S., South America, the Philippines, Indian subcontinent and Myanmar. It owns S&W globally except for Australia and New Zealand. The group owns the Contadina and College Inn trademarks in various countries.

DMFI owns other trademarks such as Fruit Naturals, Orchard Select, SunFresh and Fruit Refreshers. It also has joint ventures with Fresh Del Monte Produce Inc. in chilled products such as juices, packaged fruit, guacamole and avocado, and Del Monte-branded retail food and beverage outlets.

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Erica Sacra

Outside of her web editing duties, Erica enjoys watching movies and spending time with friends and family. She loves trivia and Kentucky Wildcats basketball.

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