Another Company Heads to Texas
- Rex Ballard
- Jan 2
- 4 min read
Leprino Foods Closes California Plant: A Blow to Local Economy Amid Rising Costs
Leprino Foods, a family-owned powerhouse in the dairy industry, traces its roots back to 1950 when Italian-American entrepreneur Mike Leprino Sr. founded the company in Denver, Colorado. Starting as a small operation producing mozzarella cheese for the family's corner grocery store, it grew under the leadership of Mike Sr. and his son, Jim Leprino, who joined in 1956 with a focus on the booming pizza market. Today, still privately held by the Leprino family—with Jim Leprino as chairman until his passing in June 2025—the company has become the world's largest producer of mozzarella, supplying major chains like Domino's, Pizza Hut, and Papa John's. Bootstrapped from family savings and reinvested profits, Leprino has expanded into a global leader in cheese and dairy ingredients, emphasizing innovation and quality while maintaining its family-run ethos.
Leprino foods has been a long term resident in the central California town of Lemoore. The factory that the Leprino family took over in 1956 was originally opened in 1910 and has a 115 year history of making cheese in this small town. Under the leadership of Jim Leprino the family owned business has grown to be the largest maker of mozzarella cheese with focus on the pizza market. Throughout the company's long history they have employed multiple generations of several different families. The departure of the company is being felt very hard by this tight knit community.
The Announcement: A Year's Notice to Workers and Community
In a move that underscores the company's commitment to its employees, Leprino Foods announced the closure of its Lemoore East facility in Kings County, California, in November 2024, providing over a year's advance notice before the plant's shutdown in early 2026. This 115-year-old plant, one of the largest cheese manufacturing sites globally and operational since 1910, will see phased layoffs affecting 368 workers. Company officials emphasized that the decision does not reflect on employee performance and pledged collaboration with unions and local leaders to aid affected families. Local responses included job fairs organized by Kings County to help displaced workers, highlighting the community's proactive efforts amid the news. The secondary job loss impacts will be much larger. California dairy farmers will likely be hardest hit given the scale of the Leprino operation in Lemoore. Leprino's departure is expected to result in more dairy closures in an industry that is already struggling under the states heavy regulatory load.
California's Harsh Business Climate is the Reason
The closure marks yet another casualty of California's stringent regulations, skyrocketing utility costs, and overall high operating expenses, which have driven numerous businesses to seek greener pastures elsewhere. Leprino cited the facility's age—requiring massive capital for upgrades—alongside long-term milk supply challenges and the prohibitive costs of doing business in the state. Strikingly, it proved more economical for the company to invest approximately $1 billion in constructing a brand-new, state-of-the-art facility in Lubbock, Texas, than to continue operations in California. This 850,000-square-foot plant, which began operations in early 2025, processes over 8 million pounds of milk daily and represents a strategic shift to a lower-cost environment with better incentives. As one observer noted, "Happy cows come from Texas now," reflecting how Texas's business-friendly policies are luring away California's dairy giants.
Profound Impacts on the Community and Local Economy
The shutdown delivers a high-impact blow to Lemoore, a rural Central Valley community heavily reliant on agriculture and manufacturing. The loss of 368 high-paying jobs—often described as some of the best factory positions in the region—will ripple through families who have been employed there for generations, potentially increasing unemployment and prompting outmigration. These roles, tied to the plant's legacy, supported multi-generational households and local spending on housing, retail, and services.
Beyond jobs, the closure erodes the local tax base, as the facility was a major contributor through property taxes, sales taxes, and employee income taxes. This revenue shortfall could strain Kings County's budget for essential services like education, infrastructure, and public safety. Utilities will see reduced demand for water and electricity, impacting providers and potentially leading to higher rates for remaining users. Broader infrastructure effects include softened housing markets and weakened schools and hospitals due to population declines.
A Further Indictment of California's Regulatory Environment
Leprino's exit fits a troubling pattern of businesses fleeing California, where high taxes, burdensome regulations, and utility costs make sustainability challenging—even for established giants. While Leprino retains other non-manufacturing operations in the state, this closure signals a stark choice many businesses are facing: adapt to mounting pressures or relocate for survival. For Lemoore residents, the focus now shifts to recovery, but the long-term scars on the community's economic fabric may endure.
Sources:
World's largest mozzarella producer to close 115-year-old Calif. plant - SFGate (Published: Dec 19, 2025) Link
World's largest mozzarella maker shutting California plant - Newsweek (Published: Dec 22, 2025) Link
Major cheese producer closes Fresno-area facility, cuts jobs as it expands in Texas - Fresno Bee (Published: 8 days ago) Link
Historic California Cheese Plant to Close, 300+ Jobs at Risk - What Now Los Angeles (Published: Dec 23, 2025) Link to Retail Category Page (Article Mentioned) (Direct article link not retrieved; this page lists the story under recent retail news.)
Leprino's Lemoore East facility set to close in 2026 - Hanford Sentinel (Published: Nov 14, 2024) Link
Major cheese producer closes Fresno-area facility, cuts jobs as it expands in Texas - Yahoo News (Published: 8 days ago) No direct link retrieved (likely syndicated from Fresno Bee). Alternative: Refer to the Fresno Bee source above for identical content.
How will Leprino Foods closure affect local dairies? - Facebook Group Discussion (Published: Dec 20, 2025) Link
Food supplier to Domino's and Papa John's closing California plant - Daily Mail (Published: Dec 20, 2025) Link
Leprino Foods plant closure in Lemoore to impact over 300 jobs - KMPH Fox 26 (Published: Nov 10, 2025) Link
