Ferrero unveils US Nutella Peanut production site to fuel snack innovation

Ferrero North America has unveiled a new Nutella Peanut production line in Franklin Park, Illinois, as part of a US$75 million project to expand its footprint in the US. In recent years, the confectionery powerhouse has spent billions acquiring American snack brands and advancing R&D and manufacturing.

The company calls Nutella Peanut its first new flavor innovation in over 60 years, aiming to offer consumers a new taste experience. It is also the brand’s first product manufactured in the US.

“Nutella is becoming a true power brand with the success of Nutella & Go!, Nutella Biscuits, and now even Nutella ice cream. It seems like a good time to take the next step with a new taste,” Seth Gonzalez, senior director of Marketing at Nutella, tells Food Ingredients First.

The site’s launch is driven by consumer demand and a focus on localizing global brands. “We know consumers are after new varieties and taste combinations, and we wanted to see if we could try something that specifically appeals to US and Canadian consumers. And then the results of our extensive consumer testing made us pretty confident it will be a hit,” Gonzalez says.

In addition to the Franklin Park plant, Ferrero has a manufacturing campus in Bloomington, Illinois — the company’s first-ever North American Innovation Center. 

Nutella Peanut: Sourcing US peanuts and hazelnuts 

Data from the USDA Economic Research Service shows that in the US, peanuts are grown mainly in the South of the country. Georgia produces more than 50% of the national peanut crop, followed by Florida, Alabama, Texas, North Carolina, and South Carolina.

Meanwhile, US hazelnut production is limited but growing, with production increasing by over 500% from 1998 to 2023.

Nutella Peanut is made using hazelnuts from Oregon and peanuts from Georgia and other Southeast states, while retaining brand’s signature creamy texture.Nutella Peanut utilizes locally sourced hazelnuts from Oregon and peanuts from Georgia and other Southeast states, and was developed with North Americans consumers’ taste preferences in mind, says Gonzalez. While he describes its formulation as “unique compared to regular Nutella,” he adds that the product retains the brand’s signature creamy texture.

Nutella is also investing in US agriculture with the Illinois plant’s launch.

“We started helping Oregon hazelnut growers increase their yields over a decade ago and have been increasing our sourcing from the state a lot over the past few years. Now with the launch of Nutella Peanut, Ferrero is increasing its sourcing of US peanuts by 30%.”

Ferrero Group’s North America expansion

Ferrero entered the North American market in 1969 and now has 15 plants and warehouses, and eight offices across the US, Canada, and the Caribbean.

It owns snack and confectionery brands Butterfinger, Crunch, Keebler, Famous Amos, and Mother’s Cookies through a series of acquisitions over the past decade, which has expanded its US presence and product lineup.

Ferrero’s broader moves in snacks, such as the Bold Snacks acquisition in Brazil (a protein snack brand), indicate continued strategic expansion beyond traditional confectionery into the wellness‑oriented F&B sector.

The new Illinois Nutella Peanut site, which has created 50 new jobs, is an expansion of Ferrero’s existing facilities in Franklin Park, where it has manufactured Butterfinger and Baby Ruth since the 1960s.

“We’ve had a lot of success in Illinois since taking over and investing in the plants in Franklin Park and Bloomington. We also opened our R&D Labs and Innovation Center in Chicago, where the team is coming up with new solutions like Butterfinger Salted Caramel. Ferrero Group will likely make more headlines in the state over the years,” Gonzalez concludes.

Nutella Peanut is being sold at Walmart, among other retailers in the country.