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January 18, 2021

Mars reveals expansion plans at US pet food facility

Mars has revealed it is to spend US$145m on expanding one of its US pet food facilities to meet the increased demand seen during the Covid period.

By Leonie Barrie

Mars is to spend US$145m to expand its pet food facility in Fort Smith in the US state of Arkansas.

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What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
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The company said the move will create more than 120 new jobs.

Mars, which owns pet food brands including Pedigree and Whiskas, said it is responding to increased demand for pet products seen during the Covid-19 pandemic.

The US giant said its research had shown more than 11 million households in the US welcomed a new pet this past year, which has contributed to growth in the wet pet food category. 

Expansion work at the facility will begin this month and is scheduled for completion next year. Mars will add more than 200,000 sq ft and two additional production lines, increasing production capacity by more than 40%.

Ikdeep Singh, regional president of Mars’s pet care business in North America, said: “The investment in our Fort Smith manufacturing facility enables us to continue to serve the ever-growing needs of pets and pet parents and represents our commitment to our associates and this community.”  

The Fort Smith facility opened in 2009 and Mars said it has invested more than $420m in the site to date. It added further expansion is planned for the future. 

Mars also revealed in "early 2021" it will be announcing new products in the wet food category, including Sheba Bistro cat food, a line of new "chef-inspired entrees" and new offerings from the Cesar brand.

There are 14 Mars pet care sites in the US.

Earlier this month, it was reported that Mars is planning to invest in pet-food manufacturing in China.

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Free Report
img

What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
Enter your details here to receive your free Report.

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