Campbell Makes Moves to Optimize Its Supply Chain

As it works to fuel business growth, improve return on investments, and enhance the efficiency of its manufacturing and distribution network, Campbell Soup Co. has revealed a series of strategic moves that it plans to make within its supply chain. 

“To fuel growth and transform our manufacturing and distribution network, we must invest and further strengthen our supply chain,” said Dan Poland, Campbell’s chief supply chain officer. “By leveraging our best-in-class in-house capabilities, combined with the expertise of trusted manufacturing partners, we will continue to make the highest-quality products, with a more agile, flexible and cost-effective manufacturing network. We continue to evaluate optimization opportunities across the network to build our supply chain of the future.”

Those moves include the closure of Campbell’s Tualatin, Ore., plant, which was acquired in 2017 as part of the company’s acquisition of Pacific Foods. The plant currently produces organic soup, broth and plant-based beverages under the Pacific brand, but Campbell said that the aging facility’s inefficient configuration can no longer support the increased consumer demand and continued growth of the business.

As such, the facility will close in phases and is expected to cease operations by July 2026. The first phase will affect 120 of its 330 employees this August. The plant’s soup and broth production will be relocated to other thermal and aseptic plants in the Campbell network, while plant-based beverage production will shift to its co-manufacturing partners.

[Read more: Campbell Creates New Business Unit Following Sovos Brands Acquisition]

Additionally, Campbell’s Jeffersonville, Ind., plant will shift its focus to start specializing in Late July tortilla chips. Production of kettle potato chips will be moved to other plants, with the change going into effect in July. The plant will continue to produce regional snack brands.

According to Campbell, the closure of the Tualatin site and the changes to the Jeffersonville plant will affect 415 employees. The company will provide separation benefits and job placement support.

“We recognize this is difficult news for our teams in Tualatin and Jeffersonville,” said Poland. “Any action that impacts our people is made with careful deliberation, and we are committed to provide support and assistance during these changes.”

On the flipside, Campbell is investing approximately $230 million through fiscal 2026 on projects at newer, more agile facilities in its network. Those projects are expected to create 210 new jobs and include:

• Maxton, N.C.
  • $150 million investment for new aseptic soup production
  • 100 new roles
• Hanover, Pa.
  • $72 million investment to add additional potato chip kettles
  • 72 new roles
• Franklin, Wis.
  • $8 million investment to expand capacity for tortilla chips
  • 40 new roles

Based in Camden, N.J., since 1869, Campbell Soup Co. generated fiscal 2023 net sales of $9.4 billion. Its portfolio consists of such famous brands as Campbell’s, Cape Cod, Goldfish, Kettle Brand, Lance, Late July, Milano, Pace, Pacific Foods, Pepperidge Farm, Prego, Snyder’s of Hanover, Swanson and V8.