By Colin Kellaher

 

Kraft Heinz Co. on Wednesday said it signed a long-term agreement naming frozen-french-fry maker J.R. Simplot Co. as the exclusive manufacturer and supplier of its Ore-Ida potato products.

Pittsburgh food maker Kraft Heinz, which will continue to own the Ore-Ida brand, said it expects the move will help expand the brand and create greater efficiencies through vertical integration, including the supply of potatoes for the brand starting with the 2023-24 crop season.

Kraft Heinz said it will transfer ownership of its Ontario, Ore., potato-manufacturing plant, which employs about 600 people, to J.R. Simplot, with the handover expected in the second quarter.

Kraft Heinz said privately held J.R. Simplot, based in Boise, Idaho, will offer positions to plant workers, with pay and benefits comparable to similarly situated Simplot employees.

 

Write to Colin Kellaher at colin.kellaher@wsj.com

 

(END) Dow Jones Newswires

February 23, 2022 06:44 ET (11:44 GMT)

Copyright (c) 2022 Dow Jones & Company, Inc.
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