Hershey to invest $60mn in Pennsylvania confectionery plant to increase Kit Kat production

By Laura Mullan
The Hershey Company plans to invest $60mn to expand its manufacturing facility in Hazleton, Pennsylvania. The capital investment will add a new Kit Kat...

The Hershey Company plans to invest $60mn to expand its manufacturing facility in Hazleton, Pennsylvania. 

The capital investment will add a new Kit Kat manufacturing line at the plant and will help encourage the growth of the confectionary brand in the US. 

Breaking ground on the new expansion, Hershey said that Kit Kat Is “poised to be Hershey Co.’s next $1 billion brands.” 


The factory, which currently produces Kit Kat, Cadbury and Caramello products, says that the expansion will create 111 new jobs. 

“Kit Kat is one of our most complex bars to produce, and making such a high-quality product starts with a great manufacturing team, like the people here at the Hazleton Plant,” said Plant manager Stephen Knight.

The expansion comes a week after the Hershey Company reported its fourth quarter results for 2017.

The US confectionery giant noted that net income rose to $181mn in 2018, up from $116.0mn in the fourth quarter of 2016. 

“In 2017, we continued to strengthen our core chocolate brands, positioned our snacks business for ongoing success and increased adjusted operating profit margin,” said Michele Buck, president and chief executive officer. 
“We continue to drive strong growth in our core chocolate brands as Reese’s, Hershey’s, KitKat and Kisses combined retail takeaway was solid, up 2% in the fourth quarter and 5% for the full year.”
Hershey acquired snack brand amplify for $1.6bn in December which Buck says was an important acquisition for the brand 
She added: “I am very excited about the acquisition of Amplify as we now have a meaningful presence, with the addition of the SkinnyPop brand, in the fast-growing warehouse salty snack aisle.”


Featured Articles

Mars Wrigley 'Fanatical' about Sustainability – CPO Davies

Mars Wrigley Chief Procurement and Sustainability Officer Amanda Davies on how it excels in strategic sourcing and is 'fanatical' about sustainability

McKinsey: Inflation Hurting European Grocery Sector

McKinsey report on State of Grocery Europe 2024 shows high prices are dampening consumer spending and margins are being squeezed by rising costs

Mars and FAO Food Safety Partnership Targets Mycotoxins

Mars & UN’s Food and Agriculture Organisation act on standards in food production, labelling and safety, with focus on mycotoxins in maize supply chain

Kraft Heinz Eyes $170mn US Government Net Zero Grant


Danone’s Global Strategic Partnerships Boost Growth


Mondelez & Hershey facing Easter Cocoa Crisis