McDonald's Fry Demand Slump Leads to Potato Factory Closure

Lamb Weston, a major supplier of french fries to McDonald's, has closed a plant in Washington and cut jobs due to a reported decrease in fry orders. The company attributes the decline to soft restaurant traffic and frozen potato demand.

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RELATED VIDEO -- Consumers are finding that the cost of food is rising faster than their income with inflation. - McDonald’s customers are reportedly not including as many French fries on their orders as they have in the past. The reported dip in fry orders has led to the closure of a factory by one of the fast-food giant’s major providers of fries.

reports that Lamb Weston, an Idaho-based company, closed a plant in Washington and cut about 4% of its global workforce along with eliminating positions amid the drop in sales. The food producer is said to get about 14% of its sales from McDonald’s, but with a drop in restaurant traffic and frozen potatoes, the company has moved into a cost-cutting “Restaurant traffic and frozen potato demand, relative to supply, continue to be soft, and we believe it will remain soft through the remainder of fiscal 2025,” Tom Werner, Lamb Weston CEO, said.The fast-food chain reported a dent in sales earlier this year as inflation-weary customers were spending less.



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