Brawley, California, October 21, 2025
News Summary
The announcement of the closure of Spreckels Sugar Co. plant in Brawley signals the end of sugar beet production in California, affecting hundreds of jobs and local economy. With 249 full-time positions lost and a projected $28 million drop in annual economic activity, the impact on Imperial County is severe, raising concerns over agricultural viability and community resilience amid ongoing economic challenges.
California is facing an economic crisis as the Spreckels Sugar Co. plant in Brawley announces its closure, marking the end of sugar beet production in the state. The decision, made by the Southern Minnesota Beet Sugar Cooperative (SMBSC), will take effect at the end of the current processing year in March, resulting in the elimination of the last sugar beet factory in California. Local leaders reacted swiftly, with Imperial County declaring a state of economic emergency on September 9 due to the impact of this closure.
According to reports by County Supervisor Peggy Price, the closure will affect 249 full-time positions, equating to $16.7 million in payroll and $28 million in annual economic activity. This decision arises following a thorough evaluation that identified long-term financial and operational challenges as the driving forces behind the plant’s shutdown.
The Spreckels Sugar Co. plant has been operational since 1947, contributing to a nearly century-old legacy within California’s sugar beet industry. Historically, the state was a significant player in this sector, producing 50% of the nation’s beet sugar during the 1950s. However, the imminent closure poses a significant threat to around 700 jobs, with severe ramifications for the local economy, especially in a region already grappling with one of the highest unemployment rates in California.
The closure will also impact 28,000 acres of contracted sugar beet farming within the county, directly employing approximately 400 workers. The operations of the Brawley plant will be transferred to a more efficient facility in Renville, Minnesota, amid rising production costs and a decline in sugar prices. This transition is part of a broader pattern of sugar factory closures across the western U.S., primarily affected by market dynamics and federal policies.
Moreover, the closure is likely to result in further reductions of jobs beyond those directly linked to the plant. Ancillary jobs, including truck drivers, farmworkers, and support businesses like fertilizer and seed companies, are expected to be severely impacted as well. In 2019, sugar beets contributed $1.18 billion to U.S. cash receipts from sugar farming, with yields in Imperial County averaging 40 tons per acre.
The regulations in place prevent the processing of sugar beets in alternative facilities once the Brawley plant ceases operations, effectively eradicating the possibility of sugar beet farming continuing in California. Local growers and officials have expressed discontent over the lack of prior notification regarding the closure, leaving them scrambling for solutions amid this significant economic downturn.
Although SMBSC had invested nearly $100 million over a decade to modernize the Brawley facility, achieving financial viability proved unfeasible. With limited alternative crops to explore, there are concerns that agricultural fields may go fallow, further diminishing local employment opportunities and economic activity within the community.
Impacts of Closure
- Reduction of 249 full-time jobs.
- Annual payroll loss of $16.7 million.
- Loss of approximately $28 million in annual economic activity.
- Affected 28,000 acres of sugar beet farming.
- Projected loss of around 700 jobs, impacting local economy.
Historical Context
The Spreckels Sugar Co. plant has been integral to California’s agricultural landscape since its opening, yet it now joins a series of closures that reflect the ongoing challenges faced by the sugar industry. The regional impacts will resonate for years as the community seeks alternatives for their agricultural outputs and overall economic recovery.
Qualifications and Options
The community is currently exploring other crops to replace lost sugar beet production; unfortunately, the options are limited, contributing to fears of fallow fields in the region. The future appears uncertain for local growers and their responsiveness to this sudden economic shift.
FAQ
What is causing the closure of the Spreckels Sugar Co. plant?
The closure is due to long-term financial and operational challenges identified by the Southern Minnesota Beet Sugar Cooperative (SMBSC).
When will the Spreckels Sugar Co. plant close?
The closure will take effect at the end of the current processing year, after March.
How many jobs will be lost due to the closure?
The closure is expected to eliminate around 700 jobs, primarily affecting 249 full-time positions directly tied to the plant.
What impact will the closure have on the local economy?
The closure will result in a loss of $16.7 million in payroll and $28 million in annual economic activity, compounding existing economic challenges in Imperial County.
How much sugar beet farming is affected?
The closure will impact 28,000 acres of contracted sugar beet farming in Imperial County, directly employing around 400 workers.
Key Features of the Closure
| Feature | Details |
|---|---|
| Closure Date | End of current processing year (after March) |
| Job Loss | Around 700 jobs lost, including 249 full-time positions |
| Local Economic Impact | Loss of $16.7 million in payroll and $28 million in annual economic activity |
| Affected Farming | 28,000 acres of sugar beet farming with approximately 400 workers impacted |
| Historical Context | The plant has operated since 1947; California once produced 50% of U.S. beet sugar |
Deeper Dive: News & Info About This Topic
- Calexico Chronicle
- Wikipedia: Sugar Beet
- Los Angeles Times
- Google Search: California sugar beet industry
- The Desert Review
- Encyclopedia Britannica: Sugar Beet
- Farm Progress
- Google News: Sugar factory closures
Author: STAFF HERE CORONADO
The Coronado Staff Writer represents the experienced team at HERECoronado.com, your go-to source for actionable local news and information in Coronado, San Diego County, 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 the Coronado Island Film Festival, productions at Lamb’s Players Theatre, community workshops at John D. Spreckels Center, and iconic celebrations at Hotel del Coronado. Our coverage extends to key organizations like the Coronado Chamber of Commerce and Visit Coronado, plus leading businesses in hospitality, dining, and tourism that drive the local economy. As part of the broader HERE network, including HERESanDiego.com, HEREHuntingtonBeach.com, HERELongBeach.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
