Blommer Chocolate confirms closure of founding Chicago manufacturing site
pic: The Blommer Chocolate founding manufacturing site in Chicago is set to close. Pic: Blommer
A major strategic decision has been made by the Blommer group to close its longstanding manufacturing site in Chicago, US, which has served as its founding production location since the late 1930’s, reports Neill Barston.
The company cited the heightened cost of maintaining a historic building had added to its operating costs, which had resulted in production reliability issues that needed to be addressed to transform the business.
Confectionery Production understands that the decision will mean the reduction of a total of around 250 jobs at the plant, though a precise timeline of its decommissioning has not been released.
Furthermore, the company has confirmed that a total of $100 million will be placed into enhancing its other manufacturing locations at East Greenville, PA, Union City, CA, and Campbellford, Ontario, Canada, as it seeks to remain competitive in a challenging global market.
The business asserted that the move would leave it better equipped to play a key role in providing high quality chocolate and speciality compounds, as it seeks to continue a pattern of growth for its overall operations.
According to local reports, staff at the founding production site were notified last week of its closure, as the company confirmed its corporate headquarters, applications lab and new research and development centre will remain in downtown Chicago at the Merchandise Mart and will received further investment and expansion from Fuji, which acquired the business in a major deal struck in 2018.
The R&D facilities are reportedly set to support future development, concept testing, processing and ingredient research, continued application evaluation and creation to enhance the customer experience, as the business seeks to further enhance its technical capabilities. Notably, the company confirmed the new centre would open this autumn.
Mark Okita, Chief Operating Officer and Senior Vice President of Commercial commented: “It was an incredibly challenging yet inevitable decision to close the Chicago plant. However, in order to propel Blommer to the next level, we must embrace progress, transformation and elevation,” says “Our planned expansion to the Campbellford Canada operation is the next step toward our transformation.
“This marks a new chapter for us as Blommer, as well as our customers. It is imperative that we challenge ourselves aggressively to ensure that this becomes the best chapter yet.” This decision
allows the company to focus their efforts and resources on the remaining manufacturing facilities of and sets Blommer up for transformation and future growth.
“One of the major factors in the Blommer transformation is expanding our service to the specialty confectionery coating business by investing in the Campbellford facility,” added Neil Fulton, General Manager – Campbellford. The company will invest $60 million to make this facility one of the largest confectionery coating manufacturing facilities in North America, with the additional capacity coming online in April 2026.
In addition, over $40 million USD is the combined capital investment planned for the East Greenville, PA and Union City, CA facilities. This investment will increase operational efficiency and reliability, as well as automate processing and packaging equipment.
“Blommer boasts a distinguished legacy within the industry, built upon years of invaluable experience and expertise” says Tomoki Matsumoto, Chief Executive Officer. “Now it is time for us to evolve ourselves to the next stage. We are committed to fortifying relationships with our customers and offering sustainable tailored to their unique business needs. We promise to become the most trusted business partner for all stakeholders.”