Lamb Weston invests US$415m in expanding US facility to meet rising demand

US – Lamb Weston, one of the world’s largest producers and processors of frozen french fries, is investing US$415 million into the expansion of its facility in American Falls, Idaho.  

Expansion works include the construction of a new processing line with capacity to produce more than 350 million pounds of frozen french fries and other potato products each year. 

Work will also be undertaken to modernise the facility, which was built in 1961, enabling it to accommodate the new line which is expected to be ready by mid-2023, and more than 130 additional staff.

The announcement follows news that Lamb Weston is investing approximately US$250 million to build a new french fry processing facility in Ulanqab, China. 

Lamb Weston’s expansion is timely as the North America French Fries market size which was valued at US$7.75 billion in 2018 is expected to grow at a CAGR of 3.2% to reach US$9.95 billion in 2026, according to recent statistics from Allied Market Research. 

The market research firm notes that the frozen segment, where Lamb Weston is a leader, was the most prominent segment in North America French fries market in 2018 and is expected to remain dominant throughout the forecast period. 

China, the other market where Land Weston recently invested in a new factory, is forecast to reach a projected market size of US$4.1 Billion by the year 2027 trailing a CAGR of 6.8% over the analysis period 2020 to 2027. 

“We continue to be confident about the long-term health and growth of the global french fry market,” said Tom Werner, president and CEO of Lamb Weston. 

This investment in American Falls complements our recently announced plans to construct a greenfield french fry processing facility in China, as well as capacity expansion in Russia by our European joint venture, Lamb-Weston/Meijer.” 

Werner further noted that these investments will strengthen the company’s global manufacturing network and provide Lamb Weston with added flexibility to meet demand growth and serve customers around the world. 

ADVERT

Liked this article? Subscribe to Food Business Africa News, our regular email newsletters with the latest news insights from Africa and the World’s food and agro industry. SUBSCRIBE HERE

Other Posts Worth Reading

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.