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Coast Packing breaks ground on $30M Amarillo facility


Coast Packing, a leading producer of animal-based shortening, officially broke ground Tuesday on its new $30 million facility in Amarillo. The California-based company, which supplies major restaurant chains like Golden Chick, Chicken Express, and Popeyes, is expanding its operations to the Texas Panhandle, creating up to 60 full-time jobs and generating an estimated 158 spinoff jobs in supporting industries.

The new facility, located at Centerport Industrial Park in North Amarillo, marks a significant step in the city’s economic development efforts. Local officials, including Amarillo Mayor Cole Stanley and Potter County Judge Nancy Tanner, attended the ceremony to celebrate the milestone.

Economic Incentives and Job Creation

Amarillo leaders have been working since 2019 to bring Coast Packing to the region, offering a robust package of economic incentives to support the move. In 2022, the Amarillo City Council approved a plan under Ordinance 8026 to designate 30 acres near Centerport Boulevard and Folsom Road as a Tax Increment Reinvestment Zone (TIRZ) No. 21. The Amarillo Economic Development Corporation (AEDC) also provided additional incentives, including:

$12,000 per full-time employee, up to 60 positions

80% tax abatement on the facility’s $30 million construction cost

$1 million in rail site improvements

Doug Nelson, senior vice president of AEDC, emphasized the long road to securing the deal, noting that the usual timeline for projects like this is 18-24 months.

“This one took a little longer, but it’s extremely rewarding to see it come to fruition,” Nelson said. “This is a perfect fit for Amarillo’s strong beef production industry, and we’re thrilled about the jobs and economic impact it will bring.”

A Boost for Amarillo’s Economy

Judge Nancy Tanner underscored the importance of industrial growth for the city’s economic future.

“It’s extremely satisfying to know that growth in Amarillo is still happening,” Tanner said. “We need industry like this, and today is a good day for our community.”

The facility will initially create 40 full-time jobs, with plans to expand to 60 positions. Employees will earn an average salary of $55,000, contributing to an estimated $11 million annual economic impact over the next two decades.

Mayor Cole Stanley echoed the excitement, calling the project a testament to Amarillo’s ability to attract high-quality businesses.

“This is a great example of the AEDC delivering a top-tier company,” Stanley said. “Coast Packing is a fourth-generation, family-run business built on excellence, and we’re thrilled to welcome them to Amarillo.”

A Legacy of Quality and Growth

For Coast Packing Chairman and CEO Eric R. Gustafson, the groundbreaking was the culmination of nearly six years of planning. He described the moment as a mix of relief and excitement, acknowledging the company’s deep family legacy.

“My father was my best friend, and I wish he could be here to see this,” Gustafson said, his voice filled with emotion. “Our forebears laid this foundation, and we want to carry that forward for another century.”

Gustafson credited Amarillo’s deep understanding of the beef industry and the city’s welcoming approach as deciding factors in selecting the location.

“We considered other locations, but Amarillo truly understands our industry and our mission,” he said. “The people, the EDC, and local leadership have been incredibly supportive. This is where we want to be.”

The new Amarillo plant will work alongside Coast Packing’s Los Angeles operations, handling the rendering and refining of beef and pork fat into high-quality cooking shortenings used in over 500 restaurants nationwide. Construction is expected to be completed by summer 2026.

As the groundbreaking ceremony concluded, Gustafson reflected on the journey ahead.

“Our goal is to add value to Amarillo, build lasting relationships, and maybe someday celebrate another 100 years of Coast Packing success.”

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