Industry round-up: latest efforts by pet food players to fuel production capabilities
From Purina to General Mills, top pet players are pumping cash into facility expansions to satisfy their growing markets. GlobalPETS takes a look at these advancements.
Petsource
Petsource, a Scoular subsidiary that manufactures pet food, has invested $75 million (€69M) in tripling its production capabilities. Scoular partners with pet food manufacturers to aid the industry’s strategy growth, and this investment aims to help its growing customer base and provide space for new customers seeking production.
The invested amount has added 70,000 square feet of manufacturing space for freeze-fried pet food ingredients and created 75 new jobs.
Petsource President Amy Patterson comments, “Strong demand, growth in our customers’ businesses, and our desire to continue to provide them high quality, innovative solutions drove the project.”
Purina’s expansion in North Carolina and Iowa
As part of a $450 million (€413M) project—one of its largest investments yet—Purina expanded its footprint in North Carolina by opening its new factory in Eden on March 26. The new facility will serve consumer demand in the eastern and southeastern United States. It was built by repurposing 80% of a former brewery to create a “world-class pet food facility.”
The company’s production process will also see an overall boost with the installation of the first-ever vertical dryer installed in a Purina U.S. facility, automated warehousing systems and a one-of-a-kind Manufacturing Experience Center designed to introduce modern manufacturing.
A company spokesperson tells GlobalPETS, “Our growth strategy includes expanding and enhancing operations at our existing facilities, and we’re actively pursuing a project to increase capacity at our factory in Fort Dodge.”
This 80,000-square-foot facility in Fort Dodge, Iowa, was given the green light after Purina received approval from the Iowa Economic Development Authority (IEDA) Board.
Through a $175 million (€161.3M) capital investment, Purina will add a new product line and create 50 jobs through this “capacity-building project.” The IEDA Board has also approved Purina tax benefits through the High-Quality Jobs (HQJ) program.
Purina in Hungary
Nestlé Hungária is pumping HUF 55 billion ($151M/€139.7M) into its 2020-established Purina facility in Bük, striving for its total annual capacity to reach 500,000 tons by 2025.
The latest investment will add a new unit and create 130 jobs. By utilizing local raw materials, it will enhance regional competitiveness and market security for domestic farmers.
“The Hungarian Government is contributing to this investment by providing the infrastructure necessary for operation by modernizing and developing the road and water network, which will also benefit the inhabitants of the region,” comments Péter Szijjártó, Minister of Foreign Affairs and Trade.
General Mills
The American multinational will construct a 729,120-square-foot facility for its Blue Buffalo pet food division in Kansas at Olathe’s I-35 Logistics Park to facilitate storage and distribution capabilities.
General Mills confirms to GlobalPETS that it expects to commence the construction of the 57-acre site by next month. The Johnson County project is also expected to create 81 new jobs.
To supplement growth, the site developer, Scannell Properties, is requesting the city to issue $71 million (€65.4M) in industrial revenue bonds and a 10-year, 50% property tax abatement.
Kemin Nutrisurance
Brazil-based global ingredient manufacturer Kemin Industries has opened a new spray-drying facility in its Vargeão, Santa Catarina, headquarters. Along with a new Innovation Centre, which is set up to provide customer production and supply solutions, Kemin has become the largest pet food manufacturing plant in Latin America by volume capacity for producing dry and liquid palatants.
The two-fold expansion is expected to support the company’s South America, Asia and Europe markets.
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