ADM establishes Mexico as its production hub for Central America
The agribusiness giant plans to double monthly tonnage through a new production line in its Guadalajara facility.
ADM added a third production line in its pet food facility in Guadalajara based in Jalisco, with production expected to begin in early 2024. A total investment of $33 million (€31.2M) is expected to significantly boost the company’s production capabilities.
The company will double its tonnage output through the new production line to 6,700 tons per month, in addition to the current 3,500 tons from plant operations.
Jorge Martínez, ADM’s President of ADM Pet Nutrition, told GlobalPETS that the growth of their brands in recent years is behind the investment.
Describing the new line, Martinez labeled it as “flexible,” saying that it will allow the company to manufacture almost the entire range of ADM products.
Strategic location
The company says that the Guadalajara facility is “strategically positioned” to serve not only all of Mexico but also has the capability to extend to other markets of Central America and Colombia.
In 2022, GlobalPETS reported on ADM’s capacity expansion news in Mexico. Then, ADM introduced a new line of pet food production to triple the company’s production capabilities in the state of Jalisco, where ADM has three additional facilities and a distribution center.
In the company’s Q3 earnings, which concluded on 30 September 2023, animal nutrition revenues hit $884 million (€835.9M). During the same period in 2022, sales in the category hit $958 million (€905M).