Texas Based Spice Company To Nix Foreign Outsourcing Option

Sept. 8, 2011 - PRLog -- Adams Flavors, Foods & Ingredients, a 123 year old Texas based spice company, has chosen to continue domestic manufacturing and packaging of its spices after an extensive outsourcing study.

"Our company is under tremendous pressure to not raise prices," said Clay Ruple, President of Adams Flavors, Foods & Ingredients. "We were forced to study what savings we could realize by outsourcing the grinding, blending, and packaging of many of our products overseas. Needless to say, we were surprised and pleased by the results of the study."

Since climate and growing conditions are not conducive to most of the herbs and spices consumed in the United States, over 85 % of all spices are imported from other countries according to USDA Import Statistics*. "Unfortunately, the United States does not produce most of the spices and herbs used by American consumers,” said Sterling Crim, Adams Chief Marketing Officer, “so conducting a study to learn the potential benefits of building finished and packaged product at the sourcing country was an obvious step."

"What we learned was that our current production team was able to manufacture our product line at a cost that was almost identical to the landed cost of the same product outsourced overseas," said Ruple. "When we overlaid the benefits of lower inventory holding and storage and import costs, we concluded that we could manufacture here in Gonzales, Texas cheaper than outsourcing."

"Many more jobs were at stake by outsourcing than just Adams Manufacturing Employees," said Crim. "The U.S. suppliers that make our bottles, caps, equipment, and packaging material could have also lost jobs."

"We would have never made a decision solely based on cost," said Ruple."Product quality and the effect on our employees, suppliers and local community played a huge part in our study and final decision."

"We can't say all our ingredients were grown in America," said Crim, "but we can proudly say that our products are made in America."


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*USDA Import Statistics  - http://www.astaspice.org/i4a/pages/index.cfm?pageid=3621