Del Monte Cannery Closure in California Could Trigger Losses Up to $550 Million for Fruit Growers

The plant is expected to officially close by April 7, 2026, marking the end of more than a century of food processing in the region.

peaches in a basket_COPYRIGHT ALL RIGHTS RESERVED_FarmHER Inc_CASSIE_ALLIE_19_05_06_US_ALABAMA_BACKYARD_ORCHARDS_0001.jpg

Cassie + Allie, Backyard Orchards (FarmHER Season 4, Episode 20)

FarmHER, Inc.

MODESTO, CALIF. (RFD NEWS) — The planned closure of a major Del Monte Foods processing facility in California is sending ripples through both the state and regional agricultural sectors, affecting workers, growers, and rural communities.

The company is shutting down its Modesto cannery as part of a broader restructuring following its Chapter 11 bankruptcy filing in 2025 and subsequent asset sales. No buyer emerged for the facility, leading to a decision to wind down operations entirely.

The plant is expected to officially close by April 7, 2026, marking the end of more than a century of food processing in the region.

Job Losses and Economic Impact

The closure is expected to eliminate roughly 600 full-time jobs and up to 1,200 seasonal positions tied to harvest cycles.

But the economic fallout extends far beyond the facility itself. Local trucking companies, farm labor crews, and suppliers that supported the cannery are also facing significant losses as the region adjusts to the shutdown.

Farmers Left Without a Buyer

For fruit growers in the region — especially those producing cling peaches and pears — the closure presents a major challenge. Washington State Tree Fruit Association president Jon DeVaney said many growers were blindsided by the move.

“Growers had to then struggle to find alternate customers,” DeVaney told the Wenatchee World. “If you were a pear grower growing for the canning market, it’s created a lot of dislocation.”

Del Monte had been a key buyer, contracting for a significant share of the state’s fruit processing. Without the cannery, many farmers are now left without a market for their crops, which are not typically sold fresh.

Industry estimates suggest growers could face losses of up to $550 million, with tens of thousands of tons of fruit potentially going unsold.

Some farmers are now considering removing orchards entirely, as long-term contracts tied to the plant have been canceled and alternative buyers remain limited.

A Broader Shift in the Industry

The closure highlights ongoing changes in the food processing sector, including shifting consumer demand and rising operational costs.

Del Monte’s restructuring and sale of assets—including its canned fruit business—reflect broader consolidation in the industry. However, the deal does not include reopening the Modesto facility, leaving a significant gap in processing capacity.

For many in California’s Central Valley, the loss is more than economic—it marks the end of a historic agricultural institution that supported generations of farm families.

Officials and industry groups are now exploring potential relief options and long-term solutions as farmers and workers navigate the uncertainty ahead.

Related Stories
Mike Formica with the National Pork Producers Council joined us on Market Day Report with his reaction to the EPA’s rollback of a Biden-era wastewater discharge mitigation plan.
Saving Producers $50,000,000 A Year

Marion is a digital content manager for RFD News and FarmHER + RanchHER. She started working for Rural Media Group in May 2022, bringing a decade of digital experience in broadcast media and some cooking experience to the team.

LATEST STORIES BY THIS AUTHOR:

Iowa farmer Derek Hommer joined us to discuss grain bin safety, ongoing prevention efforts, and the importance of community preparedness during Nationwide’s Grain Bin Safety Week.
Congresswoman Celeste Maloy of Utah joins Champions of Rural America to discuss her new leadership role in the Western Caucus and her perspective on the Supreme Court’s ruling on President Trump’s tariff policy.
National FFA Secretary Lilly Nyland talks about the significance of National FFA Week, member engagement, and the influence FFA continues to have on students nationwide.
Tommy Roach with Nachurs Alpine Solutions discuss fertilizer decision-making, plant fertility strategies, and what farmers can learn at Commodity Classic.
New details on the massive wildfire threatening farms and ranches in the Southern Plains.
The U.S. Supreme Court ruled on Friday that imposing duties without Congressional authorization exceeds presidential powers. RealAg Radio host Shaun Haney joins us to discuss the potential trade and agriculture implications of the recent ruling.