Gehl Foods plans major expansion - Atlanta Business Chronicle:

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The dairy products company recently won approval from the West Bend Plan Commission toadd 133,000 square feet to the 116,800-square-foo plant the company built in 2007 at 825 Rail Way in West Although Germantown-based Gehl Foods has delayex occupying the plant, it has beguh installing plastic blow molding liness that will be used to make plastic drink bottlees at the site, said Mark Piotrowicz, assistangt director of community development for West Bend. The compan y wants to expand the plant sooner than latert in anticipation of increased Gehl Foods officials also hope to take advantage of less expensivs buildingmaterial costs, company management said in a recentg letter to city officials.
The Plan Commission gave its approva l earlierthis month, though the companyy has not yet indicated when constructioh will begin. The addition would be used to store finishedd productsfor distribution, while the existing area would be used for makintg and storing plastic bottles, the letter “The original facility was built for new business which have been slow to company president Andy Gehl said in an interview. “Wed certainly still expect to use that The expansion is contingent on Gehl Foods securinbgnew business, Gehl said. “A lot of our opportunities are withlargee accounts,” he said. “You have to make sure all of your duckw are ina row.
” Formerly know n as Gehl Guernsey Farms Inc., the compant changed its name to Gehl Foods Inc. in Novemberd 2007. The company operates an aseptic manufacturing plang thatproduces shelf-stable, dairy-based products, including cheese pudding and pie fillings, and single-serve coffee drinks. The expansioh project’s construction start date depends on ongointg negotiations withpotential clients, Gehl Having the Plan Commission’s approval for the expansion plan “ias a big positive” at the bargainingh table with those parties, he Gehl is working on securinhg a co-packaging agreement with a major food company undere which Gehl Foods would make and package productz for the client.
If the expansionm is built in thenear future, the company would benefit from lower building materialp costs, Gehl acknowledged, though he declined to reveal a cost estimate for the project. “The price of steel has dropped dramatically,” he In its letter to West Bend officials, the companyg indicated it expects to run as many as threse shifts at the plant and employ abougt 50production employees.