Snacks & Candy

Mondelez to Invest $122.5 Million in Manufacturing, Supply Chain

Bakery expansion includes ‘a high-speed, modern Oreo production line’
Photograph: Shutterstock

RICHMOND, Va. — Snack maker Mondelez International Inc. will invest $122.5 million into its supply-chain operations in Virginia over the next three years.

The company’s investment includes a 68,000-square-foot expansion of its Richmond Biscuit Bakery, which will support its Richmond manufacturing operations and enable the site to house a high-speed, modern Oreo production line, the company said Nov. 18. The bakery is the company’s East Coast manufacturing hub for its U.S. operations and employs more than 500 people.

The company will also be opening a new sales fulfillment center close to the Richmond Biscuit Bakery. The fulfillment center, which will support Mondelez sales and distribution in the United States, is scheduled to open in 2022 and will create approximately 80 new jobs in Henrico County, Virginia.

“We are excited about these further investments in our U.S. biscuit network and the opportunity to reaffirm and enhance the role of our Richmond manufacturing site, as well as our broader supply-chain and business footprint here in Henrico County and in the Commonwealth of Virginia,” said Troy Ellis, Mondelez International senior vice president of North America supply chain. “Our Richmond Biscuit Bakery has been a proud part of our company’s operations for nearly five decades and is geographically well-situated as the hub for our East Coast U.S. biscuit manufacturing.”

The Virginia Economic Development Partnership worked with the Henrico Economic Development Authority to secure this investment for Virginia. Gov. Ralph Northam approved a performance-based grant of $1.8 million from the Virginia Investment Performance Grant. The grant is an incentive to encourage continued capital investment by existing Virginia companies, which will be paid three years after the company achieves and maintains its pledged capital investment and job creation.

“Mondelez International’s long-term investment in central Virginia is a testament to the region’s top-notch talent and strong business climate,” said Northam. “We thank Mondelez for its long-term partnership, and we look forward to its continued success here in the commonwealth.”

Mondelez International is eligible to receive state benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development, as well as benefits from the Major Business Facility Job Tax Credit for new, full-time jobs created. Funding and services to support the company’s employee recruitment and training activities will be provided through the Virginia Jobs Investment Program.

“Mondelez International’s expansion is great news for Henrico County, Greater Richmond, and the Commonwealth, and demonstrates Virginia’s ability to attract and retain high-caliber companies,” said Secretary of Commerce and Trade Brian Ball. “The commonwealth is a major hub for the food and beverage sector, and, with almost 1,000 employees who call Virginia home, Mondelez has and will continue to contribute to our leading position in this booming industry.”

Deerfield, Ill.-based Mondelez is a global snacking company operating in 150 countries. The company manufactures biscuits, chocolate, gum, candy and powdered beverages; its brands include Oreo, Ritz and Chips Ahoy! biscuits, Nilla wafers, Wheat Thins, and Premium crackers.

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