Dunkirk, N.Y. (WBEN) - New York Gov. Kathy Hochul was in the City of Dunkirk on Tuesday to join leadership, employees and community stakeholders with Wells Enterprises in announcing a significant expansion of its state-of-the-art manufacturing facility.
The now $425 million project will increase capacity of its current ice cream production, create new capabilities for future innovation, and add a first-of-its-kind chocolate manufacturing facility within the plant to use for ingredients in its ice cream and novelty products.
This investment will enable the company to add 270 new jobs, as well as retain approximately 380 full-time jobs. It will be one of the largest single private investments ever made in Chautauqua County.
New York State is supporting the project with up to $12 million in Excelsior Jobs Program tax credits, and an additional $6 million grant from Empire State Development in exchange for job creation and capital investment commitments.
The County of Chautauqua Industrial Development Agency is also working with the management team of Wells to provide support that will expedite the project.
"This is a big deal for this area. This is a big deal for the entire State of New York. That is a lot of investment coming in," said Gov. Hochul on Tuesday.
"People work hard, but then they'll stay with the company. It’s not like other parts of the country where every 12 months people are looking around for another job. This is where you build your career, your friendships, your relationships, your community. And that's what sets Upstate New York apart. It is really, truly special."
The new Dunkirk facility will be about 350,000 square feet, more than doubling its current footprint. The facility’s production capabilities are expected to increase output to more than four times their current production to support the company’s growth in novelty and packaged ice cream.
The newly announced expansion plans include all new production lines, more than doubling the number of manufacturing lines with high-output capabilities, creating new innovation capabilities, a new chocolate ingredient manufacturing facility, and best-in-class breakrooms, offices, and facilities designed to provide the best working environment for their team.
Construction has already begun on the new facility. Wells is continuing to manufacture ice cream products in the existing facility while construction is underway.
The company’s growth will also benefit the dairy industry in the Northeast.
The planned expansion will continue to utilize millions of pounds of dairy annually. That number is expected to grow along with the overall consumption of ice cream. Fortune Business Insights estimates the global ice cream market will reach $132.32 billion in 2032, up from $76.11 billion in 2023, and reflecting the overall increase in the world’s craving for ice cream.
"We couldn’t be more excited about the future of Wells, and the role this expansion in Dunkirk will play in our ambition to be the U.S. ice cream category leader," said Wells Enterprises CEO Liam Killeen. "We are extremely grateful to the State of New York, Chautauqua County, and the community of Dunkirk for their unwavering support of our growth. Most importantly, this is testament to the leadership and commitment of every one of our team members in Dunkirk. Their passion, drive, and excellence in operations are truly what makes this possible."
New York State has nearly 3,000 dairy farms that produce over 15 billion pounds of milk annually, making New York the nation's fifth-largest dairy state. Additionally, New York ranks fourth nationally in ice cream manufacturing with 51 payrolled business locations, ranking the state third in ice cream production in the nation.
Last year, the Ferrero Group - a global leader in sweet, packaged foods with leading brands like Nutella, Tic Tac, Ferrero Rocher and others - acquired Wells Enterprises, Inc. Wells is the largest privately held ice cream manufacturer in the United States.
Wells produces more than 200 million gallons of ice cream per-year, and distributes products in all 50 states. Wells employs over 4,000 employees across the country.
The company is headquartered in Le Mars, Iowa, and operates multiple manufacturing plants, including the Dunkirk facility, located at 1 Ice Cream Drive. These facilities play an important role in the company’s expansion plans for its national manufacturing network of its Blue Bunny, Halo Top, Bomb Pop and Blue Ribbon Classics brands.
The ice cream plant will also continue to utilize Americold’s new cold-storage distribution facility located in the Town of Dunkirk, which is providing much-needed storage for the food supply chain in the area. Americold’s $41 million project was supported by up to $700,000 in performance-based taxed credits through the Excelsior Jobs Program in return for the creation of 60 full-time jobs.
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