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US soups and snacks processor Campbell Soup Co. is to cease production of its canned soups at a factory in Paris, Texas.
The move is being made to focus purely on production of its sauce brands.
Up until now, the Paris factory has produced Campbell’s sauce brands, including Prego Italian sauces and Pace salsa, and around 10% of Campbell Soup Co.’s total soup volumes.
In a statement, the group said that the decision to get rid of the plant’s soup line was made after assessing “the role the Paris plant plays in the company’s supply chain network”.
It added: “After completing a thorough analysis, the company is moving forward with plans to invest in the Paris plant to transform it into Campbell’s flagship sauce facility”.
Just Food has asked Campbell to confirm how much it is spending on the investment.
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By GlobalDataProduction of the Goldfish brand owner’s tinned soups, such as its namesake brand Campbell’s, will be moved to other manufacturing sites following the factory’s closure.
The soups line is expected to cease operations in “two years time”, the company said.
The line closure is expected to affect around 300 employees. Around 680 people are currently employed at the plant. Campbell said it “is committed to providing support and assistance to impacted employees throughout the transition”.
Earlier in May, the Swanson chicken broth maker announced a series of closures affecting 415 positions.
In a statement at the time, the company said it would shut its site in Tualatin, Oregon, which makes Pacific Foods’ organic soup, broth and plant-based drinks. It also announced intentions to scale down crisps production at the Jeffersonville, Indiana site, in a bid to hone in on tortilla chips.
It described the plans as “part of an ongoing effort to invest in and transform its supply chain to fuel business growth, improve return on invested capital and enhance the overall effectiveness and efficiency of its manufacturing and distribution network”.