Hershey Plant in Mexico Nears Completion

In Monterrey, Mexico, a new Hershey Company plant is on schedule and will begin production later this year. "We are very pleased with our progress at the plant," said Hershey spokesman Kirk Saville. "We are building a strong plant leadership team in Monterrey." Hershey has produced products in Mexico for 40 years, reports the Patriot-News, and currently makes beverages, chocolate and confectionery products, including Jolly Ranchers, for both the Mexican and other markets.

In February 2007, The Hershey Company announced that it planned to restructure manufacturing operations by eliminating at least a third of its production lines in the U.S. and Canada and shift some manufacturing to Monterrey, Mexico. Hershey said the realignment was designed to reduce costs and increase plant capacity. Since then, Hershey has announced six plant closings in North America and has offered early retirement and voluntary severance packages, writes the Patriot-News.

Under an agreement with The Hershey Company, Swiss-based Barry Callebaut will supply liquid chocolate to Hershey from a plant it will build in Monterrey. The Barry Callebaut facility is scheduled to be operational by this summer. Barry Callebaut does not have any other facilities in Mexico.