Nestlé Canada announced it will close its Food Service factory in Trenton, Ontario Canada.
This factory makes dry blend and frozen products for the hospitality and restaurant sector and a large percentage of the products made in Trenton are for export to the US.
The foodservice industry is highly competitive and over the years volumes in the US have continually outpaced Canadian volumes, resulting in more than 80% of Trenton’s annual production being shipped to the US. The Trenton factory is part of a North American manufacturing network and the US foodservice factories have capacity to absorb the production.
The factory will close in stages with the first products transferring at the end of this year, culminating in a full shutdown by mid 2022. The company said it remains focused on growing the Nestlé foodservice business in Canada and staking out a post-pandemic leadership position in out-of-home solutions.