MARS CHOCOLATE Plant opening in 2014 to make Snickers, M ... · A SWEET DEAL IN TOPEKA Company will...

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A SWEET DEAL IN TOPEKA Company will bring jobs and bolster city’s reputation as a food manufacturing center. MARS CHOCOLATE Plant opening in 2014 to make Snickers, M&Ms FRIDAY, JULY 5, 2013 NEWS By KEVIN COLLISON The Kansas City Star A river of chocolate will begin flow- ing soon from a new Mars Choco- late plant in Topeka, 30,000 gal- lons of daily deliciousness on the prairie. When that sweet torrent finishes “enrobing” little bars of chewy nougat and roasted Georgia peanuts, the huge plant each day will produce 14 million individu- ally wrapped mini- and “fun-size” Snick- ers and 31 million peanut M&Ms. For Mars, the country’s biggest con- fectioner if you count its recent purchase of Wrigley gum, the $270 million plant is the first production facility built by the family-owned company in 35 years. It’s expected to be cranking out boxcar loads of candy for at least 50 years begin- ning in 2014. Two years ago, Topeka laid out some of its own sweetness to close the deal to land the plant. Among other incentives, it gave Mars 150 acres of free land and $6,000 for each of the 425 anticipated jobs. For Topeka, the half-million-square- foot facility on the south edge of the city is expected to reinforce its reputation as a food-manufacturing center. “It bolsters the fact Topeka is becom- ing a powerhouse when it comes to major manufacturing,” said Dawn Wright, vice president of economic development for Go Topeka, a nonprofit economic devel- opment agency that reports to the city and county. “I’m sure it’s got the attention of others out there.” Mars rising When it comes to candy, Mars is as American as the Milky Way invented in 1923 or the Snickers launched in 1930 or M&Ms given to troops in World War II because they melted in their mouths, not their hands. The global firm was started by a small- town Minnesota boy named Frank C. Mars and is now headquartered in subur- ban Washington after stops in Minneapo- lis and Chicago. “They and Hershey are the two larg- est companies for candy in the U.S., and Mars may be the largest now that they own Wrigley,” said Susan Smith, a spokes- woman for the National Confectioners Association. Mars, which still uses the first pro- duction plant the company built in Chi- cago in 1929, decided to locate what will be its 10th plant in Topeka after a na- tional search. The company wanted ample, flat land well-served by utilities, rail and inter- state highways and that was within a 45- JILL TOYOSHIBA / THE KANSAS CITY STAR The exterior of Mars Chocolate’s new 514,000-square-foot plant is finished in Topeka, although workers continued to build a packing area in late June. It is the first manufacturing facility Mars has built in the U.S. in 35 years.

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Page 1: MARS CHOCOLATE Plant opening in 2014 to make Snickers, M ... · A SWEET DEAL IN TOPEKA Company will bring jobs and bolster city’s reputation as a food manufacturing center. MARS

A SWEET DEAL IN TOPEKACompany will bring jobs and bolster city’s reputation as a food manufacturing center.

MARS CHOCOLATE Plant opening in 2014 to make Snickers, M&Ms

(#78070) Reprinted from the July 5, 2013 issue of The Kansas City Star. © 2013 The McClatchy Company. For more information about reprints from The Kansas City Star, visit PARS International Corp. at www.mcclatchyreprints.com.

FRIDAY, JULY 5, 2013NEWS

By KEVIN COLLISON

The Kansas City Star

A river of chocolate will begin flow-ing soon from a new Mars Choco-late plant in Topeka, 30,000 gal-

lons of daily deliciousness on the prairie.When that sweet torrent finishes

“enrobing” little bars of chewy nougat and roasted Georgia peanuts, the huge plant each day will produce 14 million individu-ally wrapped mini- and “fun-size” Snick-ers and 31 million peanut M&Ms.

For Mars, the country’s biggest con-fectioner if you count its recent purchase of Wrigley gum, the $270 million plant is the first production facility built by the family-owned company in 35 years.

It’s expected to be cranking out boxcar loads of candy for at least 50 years begin-ning in 2014.

Two years ago, Topeka laid out some of its own sweetness to close the deal to land the plant. Among other incentives, it gave Mars 150 acres of free land and $6,000 for each of the 425 anticipated jobs.

For Topeka, the half-million-square-foot facility on the south edge of the city is expected to reinforce its reputation as a food-manufacturing center.

“It bolsters the fact Topeka is becom-ing a powerhouse when it comes to major manufacturing,” said Dawn Wright, vice president of economic development for Go Topeka, a nonprofit economic devel-opment agency that reports to the city and county. “I’m sure it’s got the attention of others out there.”

Mars risingWhen it comes to candy, Mars is as

American as the Milky Way invented in 1923 or the Snickers launched in 1930 or

M&Ms given to troops in World War II because they melted in their mouths, not their hands.

The global firm was started by a small-town Minnesota boy named Frank C. Mars and is now headquartered in subur-ban Washington after stops in Minneapo-lis and Chicago.

“They and Hershey are the two larg-est companies for candy in the U.S., and Mars may be the largest now that they own Wrigley,” said Susan Smith, a spokes-woman for the National Confectioners Association.

Mars, which still uses the first pro-duction plant the company built in Chi-cago in 1929, decided to locate what will be its 10th plant in Topeka after a na-tional search.

The company wanted ample, flat land well-served by utilities, rail and inter-state highways and that was within a 45-

JILL TOYOSHIBA / THE KANSAS CITY STAR

The exterior of Mars Chocolate’s new 514,000-square-foot plant is finished in Topeka, although workers continued to build a packing area in late June. It is the first manufacturing facility Mars has built in the U.S. in 35 years.

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(#78070) Reprinted from the July 5, 2013 issue of The Kansas City Star. © 2013 The McClatchy Company. For more information about reprints from The Kansas City Star, visit PARS International Corp. at www.mcclatchyreprints.com.

minute drive of a 400,000-person labor pool.

It didn’t hurt if the potential location was close to the center of the country.

“Out of six states, we reviewed sev-eral dozen pieces of land, and this made the cut,” said Joe Wronger, senior project manager for Mars.

Bret Spangler, site director for the com-pany, added that Topeka also seemed to fit the five business principles espoused by Mars: quality, responsibility, mutuality, efficiency and freedom.

“One reason we came here was ... the culture of the community fit our Mars cul-ture very well,” he said.

A Topeka strengthTopeka and Shawnee County also have

another principle when it comes to re-cruiting businesses — aggressiveness.

Voters approved a half-cent sales tax 10 years ago solely devoted to economic development. Since then, the city has at-tracted about $1.2 billion in investments including distribution centers for Target and Home Depot, and an expansion at the Goodyear tire plant.

The city’s food-manufacturing ros-ter includes Frito-Lay, Del Monte, Bimbo Bakeries and Hill’s Science Diet pet food. About 2,900 people are employed in the food-manufacturing industry, 2 percent of the jobs in the Topeka area.

The special sales tax powered Topeka’s incentive offer to Mars. The endeavor was code-named “Project Sweetness.”

The fund already had helped the Go To-peka agency buy the land.

Topeka offered Mars 150 acres of free land valued at $4.5 million and a 10-year, 100 percent property tax break; $6,000 each for up to 425 jobs, worth $2.55 mil-lion; $1.7 million in training programs; no building-permit fees; and free utility hookups.

For its part, Kansas is offering incen-tives from its Promoting Employment Across Kansas program that will allow Mars to keep 95 percent of its employees’ state income taxes for up to seven years.

In return, Wright of Go Topeka said, her community expects that the jobs cre-ated will contribute $584 million in direct and indirect salaries over 10 years, and bring in $31 million in direct revenues to the city and county and an additional $269 million from sales taxes and other purchases.

“We felt we had to do everything for Topeka and Shawnee County to win the bid,” she said.

Mars officials said the incentives were not a critical factor in picking Topeka.

“This facility will be here long after the incentives are over,” Wronger said.

Plant near completionThe Mars project manager was seated

recently inside one of the caravan of con-struction trailers outside the plant, where construction began in September 2011.

The exterior shell of the 514,000-square-foot building, large enough to enclose

185 standard houses, is complete. Equipment is being installed along

with 28 miles of pipes — including 1,200 feet dedicated to moving heated chocolate from two storage tanks holding a total of 31,700 gallons, one dedicated to Snickers, the other to M&Ms.

The facility is being built by St. Louis-based McCarthy Building Cos. It’s one of two major jobs the company has won re-cently in Kansas, the other being the Na-tional Bio and Agro-Defense Facility in Manhattan.

The company recently opened a Kansas City office to serve its growing business interests here.

About 410 construction workers toil daily at the site Monday through Saturday, and a night shift is starting soon.

The plant will meet the LEED Gold environmental standard. Among its fea-tures are natural lighting from 70 sky-lights and 270 other windows. One-third of its materials are recycled, and 20 per-cent of its materials were produced in the region. A solar power field also could be added.

The building, designed by Kansas City-based CRB, sports an entrance that will be covered by a round canopy with a bottom resembling a 36-foot diameter M&M.

Although the building is large enough to accommodate five production lines, it will start with two, the smaller Snickers and M&M peanut products.

Expansion to eight to 10 lines is expect-ed to include Twix chocolate bars and ad-ditional varieties of M&Ms.

About 8,000 pounds of cocoa butter will be needed daily to make chocolate, and 117,000 pounds of peanuts will be used.

Smith, the National Confectioners As-sociation representative, said many candy manufacturers had been building facilities outside the U.S., which makes what Mars is doing in Topeka worthy of note.

Candy is a $33 billion business in the U.S., and total sales have been increasing about 3 percent annually.

“It’s significant for the industry that Mars is building a new and large facility in the U.S,” she said.

“Everybody likes candy. No matter what the economic times, candy does OK.”

To reach Kevin Collison, call 816-234-4289

or send email to [email protected].

JILL TOYOSHIBA / THE KANSAS CITY STAR

The facility, which will produce M&Ms, features an entrance that will be covered by a round canopy with a bottom resembling a 36-foot diameter M&M.

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