MEMPHIS, Tenn. (AP) – Strong demand for peanut butter and a $6 million tax break persuaded J.M. Smucker to reverse its decision to close its Memphis plant.
According to The Commercial Appeal, the Orrville, Ohio-based company announced Monday it will invest $55 million in new equipment at the plant and add 65 jobs.
Smucker earlier said it was closing the plant and it will continue with plans to shift production of jams and jellies, moving most of that work to a new plant in Orrville.
In a statement, Smucker said it has doubled sales of Jif brand peanut butter since buying the label in 2002.
The company said demand for natural peanut butter continues to be strong and it expects to grow the Smucker’s, Adam’s, Santa Cruz Organic and Laura Scudder’s brands.