Expansion of Cold Storage Facilities Results in 35 New Jobs

Thanks to help from state and local officials, two, long-time Oregon food processing companies—NORPAC Foods and Henningsen Cold Storage—agreed in early 2013 to make a $25 million investment in Salem.

NORPAC Foods Inc., and Henningsen Cold Storage officials agreed to build a 225,000-square-foot cold storage warehouse in southeast Salem. NORPAC, a large fruit and vegetable processor, and Hillsboro-based Henningsen Cold Storage have done business together for many years.

The warehouse and office buildings are part of strategic plans to grow both companies' businesses and will be built on NORPAC-owned land. The warehouse, scheduled for completion in early 2014 and expected to employ 35 workers, would provide cold storage space for the adjacent NORPAC food packaging plant.

The city of Salem provided property tax breaks to the companies through an existing Enterprise Zone. In addition, Business Oregon recommended and the Oregon Department of Transportation approved, a $1 million Immediate Opportunity Fund grant to help fund $5.8 million of required infrastructure to nearby streets and sewers.

The two companies worked closely with officials from the Strategic Economic Development Corp. (SEDCOR) and the city of Salem to make the project happen.

In addition to the new cold storage facility, NORPAC also plans to move its corporate headquarters from Stayton, as well as a sales and marketing team in Lake Oswego, to a new 42,000-square-foot office in southeast Salem. That move is expected to bring 120 more NORPAC employees to Salem.

NORPAC has annual sales of $300-$500 million. Company officials see good future opportunities in export markets. Oregon's food processing industry employs more than 40,000 Oregonians at more than 1,400 companies and accounts for nearly $650 million in exports annually.

NORPAC has five plants in the Salem area, one in Hermiston and one in Quincy, Wash. The company employs about 1,300 people full-time, with many more seasonal workers coming on the job during harvests.