Supply chain strategies are no longer just about keeping products moving. They are about reshaping how companies operate, collaborate, and invest for the future. Several trends have shifted from buzzwords into reality as food companies modernize production through new facilities and advanced automation, forge outside partnerships to expand capacity and reduce costs, and accelerate sustainability goals through alternative-powered fleets.
Together, these initiatives signal a new era in which supply chain innovation is driving both operational resilience and competitive advantage across the food sector. Here are a few examples.
Conagra Brands, a leading food manufacturer, is increasing investments to support supply chain resiliency as part of roughly $450 million earmarked for capital expenditures. Part of this plan is doing an overhaul of chicken production following the shutdown of a facility due to product quality issues. Conagra aims to significantly boost chicken production over the next 12 months to meet higher-than-expected demand for new products and reduce the cost of using third-party manufacturers.
Mars, Inc., a manufacturer of more than 40 snacking, food and pet brands, plans to grow its U.S.-based manufacturing by investing an estimated $2 billion into operations across the country. This multibillion-dollar investment builds on Mars’ commitment to U.S.-based manufacturing, where 94% of Mars products sold in the U.S. are produced locally in the U.S. In the last five years, the company has invested over $6 billion into U.S. manufacturing.
McLane Company, a major food distributor and partner to some of the largest retail and restaurant brands, has announced a new third-party logistics (3PL) partnership with Circle K, a convenience and fuel retailer. This agreement signals McLane’s continued expansion into 3PL services and positions both for optimized supply chain performance and strategic growth. As part of Circle K’s efforts to enhance control and efficiency within its merchandise supply chain, McLane will offer its extensive logistics expertise to support dedicated warehouse and distribution services. This partnership builds on McLane’s 3PL capabilities and aligns with its broader strategy to expand freight and logistics offerings for its customers.
McLane will operate three dedicated distribution centers (DCs) in the Midwest to support Circle K’s merchandise supply chain operations, ensuring efficient inventory management, on-time deliveries, and increased network agility. The DCs will supply approximately 1,600 Circle K and Holiday stores in 14 states with national and private brand packaged snacks, candy, beverages and other convenience items.
Lastly, PepsiCo Beverages North America is expanding its electricpowered fleet across California. Approximately 50 Class 8 Tesla Semi trucks will operate out of its manufacturing and distribution facility in Fresno, Calif., and 75 Ford E-Transit electric vans will stepchange the electrification of its equipment services fleet across the state. The electric vehicle deployment will help the company progress toward its ambitious pep+ (PepsiCo Positive) goal to reach net zero emissions by 2040.
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