Monday, January 30, 2017

Whole Foods closing food production facilities

Whole Foods announced earlier this month that it plans to close three food production facilities along the East Coast. The closures are believed to be part of the company's efforts to streamline operations and reduce costs. The facilities closing are in Everett, MA; Landover, MD; and Roswell, GA.

The operations at the three locations will either be outsourced or moved in-store. The Boston Globe reported that Whole Foods had already ceased production in the Everett facility and had outsourced the work to suppliers using Whole Foods recipes.

A report in the Austin American Statesman noted that the three facilities were the last remaining Whole Foods prepared foods commissaries in the U.S. Prepared foods account for about 19% of company sales each year.

According to an industry analyst, it's much easier now for the company to outsource food production compared to when the facilities were first built.

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