USA – Trident Seafoods, a major US seafood processor, has unveiled plans to streamline its operations by putting four processing facilities in Kodiak, Alaska, on the market.
Additionally, the privately owned company is considering either retiring or finding a buyer for its seafood cannery in South Naknek, Alaska, along with support functions in Chignik.
The four Kodiak facilities, described as “shoreside plants,” process a variety of seafood species throughout the year, including pollock, salmon, Pacific cod, and crab.
Trident Seafoods aims to focus its operations and investments on assets that drive the company’s strategic shift.
Joe Bundrant, CEO of Trident Seafoods, emphasized the necessity of taking bold action to deliver fair value to fleet, communities, and stakeholders amid changing dynamics in the global seafood industry.
“The restructuring is prompted by factors such as declining global demand for seafood, oversupply, and foreign competition, leading to price pressure on profit margins,” he noted.
“Trident Seafoods cites competition from producers in other countries that may not share the same commitment to environmental sustainability, social responsibility, and product quality.“
He added that many foreign competitors operate with minimal regulatory costs and oversight, inexpensive infrastructure, and exploitative labor practices, making it challenging for companies like Trident to remain competitive.
The streamlining effort will also result in job cuts at Trident Seafoods’ headquarters in Seattle, Washington, affecting approximately 10% of the workforce.
The company is yet to disclose the exact number of job cuts and whether additional positions will be eliminated in Kodiak, South Naknek, and Chignik.
Trident Seafoods is optimistic about remaining competitive by attracting customers who value the sustainability, quality, and integrity of wild Alaska seafood.
Additionally, the company revealed plans to aggressively reduce costs and improve productivity while reinvesting in communities, people, processes, and assets that support its mission.
As part of the restructuring, Trident Seafoods is seeking buyers for its “seasonal plants” in Ketchikan, Petersburg, and False Pass.
In a related development, Italian food manufacturer Newlat is in advanced talks to acquire British food and beverage supplier Princes from Japanese owner Mitsubishi. Princes, known for its tinned fish and fruit, is reportedly seeking a sale price of £400 million.
Newlat operates in various sectors, including pasta, milk and dairy, instant noodles, and bakery products.
Trident Seafoods and Princes’ potential changes in ownership underscore the ongoing challenges and transformations within the global food industry as companies navigate shifting market dynamics, international competition, and the need for strategic adjustments to ensure long-term sustainability.
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