Cargill Permanently Stops its Juice Plants in Central Florida

14/05/07 Citing an increasingly difficult industry environment, Cargill announced plans to permanently cease operations at its orange and grapefruit juice processing facilities in the Florida cities of Frostproof and Avon Park.

Company officials met with employees this morning. The workforce will be released in phases over the next 18 months as remaining customer commitments are fulfilled. Departing employees will be offered transition and outplacement support. To the extent possible, Cargill will seek to place interested, qualified employees in other positions within the company.

“It has been remarkable to observe the dedication of our employees who have done everything in their power to make our business successful. That is what makes this such an agonizing decision,” said Tom Abrahamson, president of Cargill Juice North America. “I’m proud of what we accomplished in the last few years despite declining demand for 100 percent juices, four damaging hurricanes, spread of citrus diseases and encroaching real estate development that have combined to severely reduce the local citrus harvests. Ultimately, the combination of those events made it impossible to deliver sustainable and acceptable returns.”

Cargill is still exploring options for the properties and hopes to make a decision soon.