Eagle, Idaho, USA-headquartered Lamb Weston Holdings announced on January 8 that it plans to shutter its factory in Munro, Argentina and consolidate production of frozen potato products for the Latin America region at a 40,000-square-meter state-of-the-art facility in Mar del Plata.
Using the most advanced technology, the new plant has the capacity to process 200 million pounds of potatoes per year, producing more than 100 varieties of frozen potato products.
In total, approximately 80% of output will be exported to Brazil and other Latin America markets, capitalizing on the strategic location of the Mar del Plata port.
“These actions are part of our broader strategy to improve profitability and enhance operational efficiency across our global manufacturing network,” said Chief Supply Chain Officer Sylvia Wilks. “Effectively managing costs across our supply chain is critical to delivering value to customers, while enabling us to prioritize investments that modernize physical assets and keep operations efficient, resilient and ready for future growth.”
The approximate 100 employees impacted by the Munro shutdown will be provided with severance packages in line with local requirements and regulations.
In addition to the Munro closure, the company has announced plans to temporarily curtail a line in the Netherlands.
These strategic moves are part of Lamb Weston’s ongoing execution of its “Focus to Win” strategy, which includes prioritizing markets and channels, strengthening customer partnerships, achieving executional excellence and setting the pace for innovation.
