General Mills shuts down Iowa plant as demand for pet treats lowers
The facility was acquired 2 years ago and produced treats for Blue Buffalo’s portfolio.
General Mills’ Blue Buffalo plant in Iowa closed last week, following plans the company announced in May.
The facility was acquired as part of the acquisition of Nudges and Top Chews products in July 2021. The company admitted to GlobalPETS that the closure, affecting around 250 employees, is “in direct support” of the company’s pet supply chain strategy.
General Mills’ Chief Financial Officer Kofi Bruce was reported mentioning efficiency and investment issues as the main factors behind the closure. Treats, which had always been an area of discretionary spending, bore the brunt of the inflationary environment.
The manufacturer stressed that this closure does not impact the other 2 Blue Buffalo manufacturing facilities. Blue Buffalo’s plant in Richmond, Indiana, which received a $200 million (€190M) expansion, is expected to create 60 new jobs by the end of 2024 and increase its manufacturing capabilities.