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Bakery giants Flowers Foods and Bimbo Bakeries USA have announced four plant closures, the biggest hit to the food sector as manufacturers look to improve efficiency and cut costs across their networks.
Flowers said it plans to close its bread manufacturing facility. BATON ROUGE, La.: The company that makes Wonder, Tastykake and Mrs. Freshley's plans to halt production from Sept. 18 through Oct. 1, Darin Allen, plant manager for Flowers Baking in Baton Rouge, told Food Dive in a statement.
He added that while the company plans to discontinue baking operations at the facility, “the delivery division will continue to serve customers as part of a broader network of bakery warehouses in Louisiana.”
Affected employees are eligible for severance pay packages and job search assistance services. Flowers did not respond to a request for comment on why the facility is closing. According to the Louisiana WARN notice, 70 employees would be affected.
The closure comes days after Bimbo Bakeries USA, which makes Entenmann's and Sara Lee, announced plans to close three U.S. bakeries, two in New York and one in San Antonio, Texas. Production at those bakeries will be moved to other locations.“We are better equipped to support future growth,” Bimbo Bakeries USA said in a statement.
that much According to a WARN notice from New York, the closures in Auburn and Olean are expected to impact 131 workers.
The packaged food manufacturer said it “continuously reviews and adjusts its bakery assets and utilization to ensure optimal production.”
Food and beverage manufacturers have been actively adjusting production capacity to meet or improve existing demand for their products. efficiency They are cutting costs across their network. In some cases, that means closing plants, while in others it means opening new locations or expanding existing buildings.
This year, Keurig Dr Pepper announced plans to close its manufacturing plants in Virginia and Vermont. Last October, the beverage giant announced it would continue developing its coffee roasting and manufacturing facility in Spartanburg County, South Carolina. At the time, Keurig Dr Pepper said it planned to invest $100 million and create about 250 new jobs by 2027.
Campbell Soup said in May it would close a plant and downsize a second facility. The soup and snack maker also announced it would invest $230 million in new, more efficient plants by fiscal 2026 to improve the competitiveness of its supply chain.