One of California’s longtime food processing facilities is shutting down next month, bringing significant layoffs to the Central Valley. The closure will impact hundreds of workers and marks another shift in the region’s historic fruit-canning industry.
Food giant begins shutdown of historic Central Valley plant
Del Monte Foods is shutting down its fruit cannery in Modesto, California. The move will result in thousands of layoffs when accounting for seasonal workers, and mark the end of operations at a facility long tied to the Central Valley’s agricultural economy.
The Walnut Creek–based canned food company confirmed it will begin an orderly wind-down of the Modesto plant after failing to find a buyer during its bankruptcy restructuring process. The facility had been expected to remain open, but the company ultimately determined the plant would not be needed for its future operations.
Impact on workers
The closure will impact about 600 year-round employees, along with as many as 1,200 seasonal workers who typically join the facility during peak harvest periods.
According to notices filed with state and local officials, the first employment separations are expected to begin around April 7, 2026, as operations wind down at the Yosemite Boulevard plant.
Union representatives say the layoffs will ripple through the region, where food processing and agriculture have long been key sources of employment.
Bankruptcy and restructuring behind closure
Del Monte filed for Chapter 11 bankruptcy in July 2025 as part of a restructuring effort aimed at stabilizing the company and selling assets. While portions of the business have been sold to new owners, no buyer stepped forward to take over the Modesto cannery.
In a statement, the company said that after the court-supervised sale process, its future operations would not require the plant’s production capacity, prompting the decision to shut down the site.
Impact on Central Valley agriculture
The closure also raises concerns for farmers and suppliers who have long relied on the cannery to process fruit grown across California’s Central Valley.
For decades, the Modesto facility processed peaches, apricots and pears grown in nearby orchards, making it a cornerstone of the region’s fruit-canning industry.
With the plant shutting down, local officials warn the decision could have lasting economic effects on the region’s agricultural supply chain and workforce.
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