News Summary
Folgers Coffee has been a significant player in the New Orleans economy for over two decades, operating the largest coffee roasting plant in the U.S. The facility, established in 1998, continues to adapt amidst market changes while facing challenges regarding tax breaks and local control. The company’s commitment to community service is evident through its outreach initiatives, especially during crises like Hurricane Katrina. As competition grows in the local coffee market, Folgers seeks to rebrand and engage younger consumers, ensuring its legacy endures.
New Orleans – Folgers Coffee has solidified its longstanding legacy in New Orleans over the past 20 years, operating a major facility at 5500 Chef Menteur Highway since its acquisition in 1998. As the largest coffee roasting operation in the United States, owned by the J.M. Smucker Co., the New Orleans plant stands as a key player in the local economy and the coffee industry broadly.
Folgers Coffee’s history in New Orleans dates back to the late 1950s, with the company’s initial facility announced in 1959 on Old Gentilly Road. The Crescent City has found significance in the coffee trade, especially since the closing of Folgers’ earlier manufacturing plants out west in California, Missouri, and Texas, marking New Orleans as a vital link in the brand’s operations.
Founded by J.A. Folger during California’s Gold Rush in the mid-19th century, the brand began full production in February 1961, with a state-of-the-art processing plant built to take advantage of nearby port facilities and proximity to coffee-producing countries. In 1963, Folgers was acquired by Procter & Gamble, leading to a marked expansion, particularly with the investment of $30 million in the former Nestle facility in New Orleans.
By the early 2000s, Folgers had established a commanding market presence, controlling approximately 39% of the U.S. supermarket roasted coffee sector, significantly outpacing competitors such as Nestle and Kraft Foods. After being acquired by J.M. Smucker in 2008, Folgers made a substantial investment of $69 million to enhance the capacity of its local plants, reinforcing its importance in the region.
Despite its established presence, Folgers recently encountered challenges regarding its operations in New Orleans. In 2020, the company sought $25 million in tax breaks for improvements to its facilities; however, state and local leaders ultimately denied the request, reflecting ongoing discussions about local control over taxpayer funds. Governor John Bel Edwards upheld these local decisions, emphasizing a commitment to the community over corporate interests.
In response to shifting market dynamics, Folgers has actively sought to rebrand itself and appeal to younger demographics. Recent advertising campaigns have featured local artist Trombone Shorty, highlighting Folgers’ commitment to adaptability in a changing coffee landscape. This effort comes amid the growth of local coffee brands like Community Coffee and PJ’s Coffee, which have expanded their market accessibility, showcasing the competitive nature of New Orleans’ coffee culture.
The impact of Folgers on the New Orleans community goes beyond coffee production. Notably, during Hurricane Katrina in 2005, Folgers was among the first businesses to resume operations, helping the community by providing temporary housing for employees and feeding first responders. The company currently employs around 650 individuals in New Orleans and regularly engages in community service through initiatives like charity events, rebuilding efforts, and partnerships with local organizations.
Folgers has made a consistent effort to give back to its community, participating in charitable initiatives such as basketball tournaments to support the Children’s Hospital of New Orleans, showcasing the brand’s commitment to social responsibility. It promotes employee volunteering as a part of its corporate culture, enhancing the bonds between the company and the New Orleans community.
Despite facing challenges and scrutiny regarding tax exemptions and local control, Folgers Coffee continues to thrive as an economic driver in New Orleans. Its resilience and ongoing contributions to the local economy are testaments to its enduring legacy in the region, ensuring that the coffee aroma cherished by many in the city will persist for years to come.
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Additional Resources
- NOLA: Folgers New Orleans Expansion
- Wikipedia: Folgers
- Tasting Table: Why Folgers Moved to New Orleans
- Google Search: Folgers Coffee New Orleans
- Biz New Orleans: Folgers Grows Economy
- Encyclopedia Britannica: Coffee
- La Illuminator: Governor Rejects Tax Exemptions
- Google News: Folgers New Orleans
Author: STAFF HERE NEWORLEANS WRITER
NEW ORLEANS STAFF WRITER The NEW ORLEANS STAFF WRITER represents the experienced team at HERENewOrleans.com, your go-to source for actionable local news and information in New Orleans, Orleans Parish, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as French Quarter Festival, New Orleans Jazz & Heritage Festival, and Essence Music Festival. Our coverage extends to key organizations like the New Orleans Chamber of Commerce and Greater New Orleans, Inc., plus leading businesses in energy, healthcare, and education that power the local economy such as Entergy, Ochsner Health, and Tulane University. As part of the broader HERE network, including HEREShreveport.com, we provide comprehensive, credible insights into Louisiana's dynamic landscape.
