Heinz Ketchup I ll Do It Again

Adjacent twelvemonth, production for the Canadian market will be moved... in Montreal

Kraft Heinz is bringing production of Heinz ketchup to be sold in Canada back to Canada.
Half-dozen years afterwards pulling out of its century-one-time plant in Leamington, Ont., and shifting production to the U.S. — a move which prompted consumer boycotts and immune a competitor to grab a big chunk of the marketplace — Kraft Heinz announced on Nov. 17, 2020, that its iconic ketchup brand will once again be produced in Canada.

Beginning in 2021, production of Heinz ketchup for the Canadian consumer market volition exist moved to an existing Heinz facility in Montreal. The constitute includes a new, USD 17 million ketchup production line, which was partly funded past a USD two million loan from the government of Quebec.
"The timing was right to bring this smashing make back to Canada," said Kraft Heinz chief administrative officeholder Av Maharaj. For now, the plant volition use tomatoes from U.S. suppliers the company is locked into contracts with, but within a yr or two, Kraft Heinz hopes to employ Canadian tomatoes to produce ketchup in Montreal, Maharaj said.

 Maharaj admitted that information technology wasn't platonic for the brand to have left Canada in the starting time place, a motion which allowed competitor French's to leap into the void and gobble up market share in the one time-monolithic world of ketchup sales.
"It was unfortunate to close the establish at the time," said Maharaj, who pointed out that several Kraft products are still produced in Leamington from local tomatoes — including Kraft barbecue sauces and Classico pasta sauces — after the company sold its establish at that place to Highbury Canco.

Leamington resident Scott Holland, who wrote a book on the history of Heinz'southward processing plant for its 100th anniversary in 2009, said news of the iconic product'south return to Canadian production was spreading like wildfire in town. Simply, he added, love apple farmers and ordinary citizens akin are baffled near why the visitor wouldn't desire to come up back to Leamington.
"Why would you refurbish a plant in Montreal when you could do it where tomatoes are grown? This is tomato country," said Holland.

In a town where well-nigh everyone knows someone in the tomato-processing manufacture, the 2014 move by Heinz all the same stings, The netherlands said.
"People are still upset. Maybe non every bit much as five or six years ago, but they're notwithstanding upset. If people notice out they're not using Leamington tomatoes, they're not going to switch dorsum, at least not effectually here," said Holland, who worked at the plant during his years as an undergrad.

In the wake of Heinz's 2014 move, French's swooped in and began producing its ketchup in Canada, from tomatoes grown largely by farmers nigh Leamington. That allowed it to slap a Canadian flag on its bottles, and provided the marketing opportunity of a lifetime. At present, one of the world's biggest consumer products giants is fighting dorsum, said branding adept David Kincaid.
"They saw this as a dropped brawl on the make side, and they ready out to right information technology," said Kincaid, founder and CEO of Level5 Make Strategy.

Kincaid likened Heinz's decision to pull its product out of Canada to something widely regarded every bit one of the greatest marketing disasters of all fourth dimension.
"Strategically, this is exactly like New Coke. Yous gave your customers a reason to question the cadre value of your product," said Kincaid.

Since the move in 2014, Heinz has seen its share of the ketchup market go from well over 80 per cent to a still substantial 75 per cent. Most of that loss has come at the hands of French's, said Sylvain Charlebois, director of the Agri-food Analytics Lab at Dalhousie University. Bringing dorsum production to Canada was something Kraft Heinz had to practise, Charlebois said.
"The maple leaf is everywhere in the ketchup aisle. Heinz was 1 of the only ones that wasn't Canadian made," said Charlebois.

Source: thespec.com

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Source: https://www.tomatonews.com/en/production-of-heinz-ketchup-back-to-canada_2_1195.html

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