Del Monte Foods plans to shut down Hanford, California facility

 Del Monte Foods, a giant in the retail world of branded processed foods, is planning to sell its tomato processing plant in Hanford where it employs 400 to 500 workers, according to the local press. The 670,000-sq.-ft building is going to be sold, officials said.

The Hanford Sentinel reported two other recent tomato processing plant closures in the state of California: the Kingsburg Del Monte facilities and the Olam tomato plant in Lemoore. In February 2024, Del Monte Foods closed two canning plants in Toppenish, WA, with 127 layoffs, and Markesan, WI, with 90 layoffs.

Analysts have noted the company, which generated USD 1.73 billion in annual sales last year, is dealing with high inventory and low demand. The Hanford plant is the only tomato processing plant in Del Monte Food’s roster of food factories that produce the Del Monte, S&W, Contadina and Take Root Organics brands, among others. The sale of the Hanford plant is not expected to influence Del Monte Foods' branded tomato product lines. Bibie Wu, Chief Communications & Technical Development Officer, remarked, "This was an extremely difficult decision, but one the company needed to make to align the business with consumer demand." 

The Hanford plant is one of ten food facilities Del Monte operates in the U.S. and in Mexico, processing and canning everything from green beans to canned peaches. It has a large fruit plant in Modesto. It has been confirmed that no other facilities within Del Monte Foods' network will experience changes as a result of this transaction. Details regarding the timeline for the plant's closure and the potential impact on its workforce have yet to be disclosed.

The company is in discussions with the union representing the site's bargaining unit employees and other manufacturing parties about the implications of the sale. "We will also be notifying relevant government officials at the appropriate time," the company said.

Sources: fresnobee.com, kmph.com, powderbulksolids.com, freshplaza.com, yahoo.com