Koch Foods $16 million expansion expected to bring 135 new jobs to Alabama

Published 6:48 am Thursday, January 21, 2021

A $16 million expansion at Koch Foods in Gadsden is expected to bring as many as 135 jobs to Etowah County.

The company is investing $15.9 million to expand the production line at its Gadsden poultry processing facility.  The project is expected to bring a total of 135 jobs over the next three years.  The Gadsden City Council approved a 10-year abatement Tuesday, of all state and local non-educational property taxes, along with non-educational construction-related transaction taxes.  The expansion will mean an increase in funding for schools.

Information from the Gadsden-Etowah Industrial Development Authority is estimating that returns will be $50,770 annually for Gadsden City Schools, $19,000 annually for the county schools (plus a one-time return of $16,000), and $9,500 annually for state schools.

Additionally, the project will bring in an estimated $83,566 per year in occupational tax.

Currently, Koch Foods has 1,040 employees, and the expansion will make the company the second-largest business employer in the county behind Gadsden Regional Medical Center.

“We’re really proud to have Koch Foods in Gadsden,” said Gadsden Mayor Sherman Guyton. “I’m pleased that they’re continuing to expand here, bringing new developments and more good-paying jobs for our citizens.” “I’m excited about the expansion, and I appreciate Koch’s continued environmental and modernization efforts at their facility,” said Dr. Cynthia Toles, President of the Gadsden City Council and representative of District 1, where the Koch Foods facility is located.

According to information from the IDA, poultry and agriculture are two of the largest industrial sector employers in Etowah County, and there are 93 businesses in the county with an agriculture SIC (Standard Industrial Classification) Code.IDA estimates that there are more than 2,000 employees in Etowah County directly related to the poultry business, which includes a number of workers employed by Tyson Foods and three private cold storage facilities.

Tuesday’s announcement is the latest in a number of expansions for Koch Foods. The company announced a previous expansion of its Gadsden plant in 2018 and a new, state-of-the-art poultry feed-mill in nearby Attalla in 2019.