Wells Enterprises is investing $425 million to expand its Dunkirk, NY facility, nearly doubling its size and quadrupling production capacity. The expansion will add 270 jobs, enhance product offerings, and strengthen regional dairy supply chains. It will also boost logistics capabilities, benefiting the Northeast’s dairy farmers.
Founded in 1913 by Fred H. Wells, Wells Enterprises was a family-run business until its acquisition by the Ferrero Group in 2022. Under Ferrero, the company operates independently, focusing on growth and innovation in its production capabilities and market reach. With a legacy of producing high-quality ice cream, Wells continues to uphold its commitment to excellence and expansion in the competitive frozen dessert market.
Overview of the Expansion
Wells Enterprises is investing $425 million to significantly expand its manufacturing facility in Dunkirk, New York. This substantial investment is among the largest private projects in Chautauqua County’s history and will nearly double the plant’s footprint while quadrupling its production capacity. The expansion is set to add 270 new jobs and secure 380 existing positions, reinforcing the company’s dedication to local employment and economic development.
Facility Upgrades
The Dunkirk facility will expand to 350,000 square feet, introducing advanced production lines and a new chocolate ingredient manufacturing plant. The expansion will allow Wells Enterprises to diversify its product offerings and boost its market presence. The new production lines are expected to commence operations in August of the following year, enhancing the company’s ability to meet increasing consumer demand and introduce innovative products.
Economic Impact
The expansion will enhance Wells Enterprises’ distribution capabilities across the Northeast, thanks to its strategic location near Interstate 90 and Lake Erie. This location will optimize logistics and distribution for Wells’ popular brands, including Blue Bunny, Halo Top, Bomb Pop, and Blue Ribbon Classics. With the increased production capacity, the facility will drive higher demand for dairy products, benefiting New York’s dairy industry, which is a major contributor to the U.S. dairy sector. New York is home to nearly 3,000 dairy farms and ranks fourth in national ice cream manufacturing.
Benefits for Local and Regional Economy
New York State is supporting the expansion with up to $12 million in job program tax credits and a $6 million economic development grant. This financial backing is designed to create jobs and encourage capital investment. The expansion is also expected to open new opportunities for trucking companies, as the increased production will require substantial transport of ingredients and finished products. The project is likely to attract new carriers to the Dunkirk area and potentially prompt larger carriers to establish satellite locations.
Ongoing Operations and Infrastructure
During the construction phase, Wells Enterprises will maintain operations at its current facility. The company will continue to utilize Americold’s 181,000-square-foot cold storage facility in Dunkirk, which features 25,000 pallet positions at minus-20 degrees Fahrenheit. This facility, opened in 2022, supports Wells’ storage needs and ensures continuity in production and distribution.
Additional Investments
The expansion includes significant investments in technology and infrastructure to enhance production efficiency and product quality. The facility will incorporate state-of-the-art equipment and systems designed to improve operational processes and meet high industry standards.
Wells Enterprises’ $425 million expansion in Dunkirk represents a pivotal moment for both the company and the local economy. The project is set to boost production capabilities, generate job opportunities, and strengthen connections with regional dairy farmers, all while enhancing logistics and distribution networks across the Northeast. This expansion underscores Wells Enterprises’ commitment to growth, innovation, and supporting local communities.
