Mars Canada completes CA$180M factory upgrades to expand capacity after Kellanova deal
Key takeaways
- Mars completes a CA$180 million (US$131 million) investment across four Ontario facilities, upgrading packaging lines and boosting production capacity.
- The spend forms part of a global manufacturing push totaling billions of dollars across the US, EU, and Canada, as the company integrates its US$36 billion Kellanova acquisition.
- Sustainability gains include a 40% electricity reduction and 75% compressed air cut at the Newmarket snacking facility.
Mars has completed a CA$180 million (US$131 million) investment across four Ontario manufacturing facilities, upgrading packaging lines and boosting production capacity for its snacking, food brands, and pet nutrition. The spend, which ran from 2022 to 2026, brings the company’s total Canadian investment to nearly CA$400 million (US$291 million) since 2015.
The move is part of Mars’ coordinated global manufacturing push that includes US$2 billion committed to US operations and €1 billion (US$1.15 billion) earmarked for the EU by the end of this year.
More than CA$100 million (US$73 million) of the total was directed toward three packaging line transformations designed to increase capacity and enable new product formats. At the Newmarket facility, a CA$40 million (US$29 million) upgrade to lines producing Mars bars, 3 Musketeers and Milky Way delivered a 25% production capacity increase.
The Bolton pet nutrition site received the largest single allocation at CA$86 million (US$63 million), resulting in a 50% capacity jump for Temptations care and treat operations. Royal Canin’s Guelph facility and the Bolton Food plant, which produces Ben’s Original, received CA$39 million (US$28 million) and CA$17 million (US$12 million) respectively.
“Rooted in more than a century of Canadian history, this investment represents both the future of our industry and our unwavering commitment to the Canadian market and economy,” says Ellen Thompson, general manager at Mars Snacking Canada. “These upgrades reflect our continued focus on advancing innovation, sustainability and workplace modernization.”
Snacking expansion and sustainability
The investment lands just months after Mars completed its US$36 billion acquisition of Kellanova in December 2025, which brought Pringles, Cheez-It, Pop-Tarts, and RXBAR into a combined snacking business generating around US$36 billion in annual revenue. That deal — the largest in the F&B sector since the Kraft Heinz merger in 2015 — has given Mars nine billion-dollar brands and positioned the company to compete more directly with PepsiCo and Mondelēz across sweet, salty, and better-for-you categories.
The Newmarket facility produces Mars bars, 3 Musketeers, and Milky Way for the Canadian market.The upgrades also carry a sustainability dimension. Newmarket’s packaging line overhaul cut electricity use by 40% and compressed air consumption by 75%, yielding annual energy savings of roughly 440,487 kWh. Bolton’s pet nutrition facility reduced water use by 15% and gas and hydro consumption by 13%, while Royal Canin’s Guelph site achieved a 12% reduction in both thermal and electrical energy use.
The efficiency gains come as the confectionery sector faces mounting pressure to reconcile production growth with environmental targets. Innova Market Insights data shows global confectionery launches grew at a 7% average annual rate between October 2020 and September 2025.
Mars’ emphasis on packaging lines capable of “new formats that meet evolving consumer tastes” also aligns with the direction of snacking innovation more broadly. Innova’s top trends for 2026 highlight occasion-based formats, single-serve versatility and multisensory indulgence as key drivers of new product development, while three in five consumers globally are actively increasing their protein intake.
Competitors are moving in a similar direction — Hershey has expanded US operations, and Ferrero acquired WK Kellogg as confectionery giants increasingly build out broader snacking portfolios.
“This investment in our manufacturing capabilities marks a significant milestone for our Canadian operations,” says Derin Bello, general manager at Mars Food and Nutrition Canada.
Mars employs 1,800 associates across its Bolton, Newmarket, and Guelph sites, with the Bolton pet nutrition facility marking its 40th anniversary this autumn and the food plant celebrating 25 years.
