American Midstate Bakery Distributors Inc. has obtained a major contract to supply more than two-dozen Walmart stores in Western and central New York.
Midstate Bakery Distributors began operating in 2002 and is a supplier of over 1,000 bread and bakery products. It has been retained to deliver more than nine categories of bread products for the Arkansas-based retail giant, under a private-label contract between Walmart and Flowers Foods, the nation’s second-largest packaged goods bakery with USD3.9bn in sales, buffalonews.com reports.
The contract, which Flowers took over from a national rival, covers more than 100 Walmart stores in upstate New York, Massachusetts and Connecticut, but Midstate will handle 27 of them in its 31-county region.
Flowers, based in Thomasville, Ga., will produce hot dog rolls, hamburger rolls, white and wheat bread, sliced Italian bread and a host of other bread items under a Walmart brand, and deliver them to Walmart. So the bakery company brought in Midstate as its distribution representative for the Buffalo and Rochester areas, said Midstate owner Dan Camelio.
“Flowers came to us because we were already distributing their products,” Camelio said, noting that Flowers had purchased the rights to Wonder Bread products. “We are just breaking back into that market with Wonder Bread and Home Pride.”
Additionally, Midstate for eight years has also been the regional representative for Mission Foods, the nation’s largest maker of tortillas, wraps and burritos, which just landed a similar contract with Walmart, Camelio said. So Midstate will now be supplying the retailer with Mission’s Great Value wraps, tortilla and burrito shells, as well as Mission-branded products.
It is not yet known how much volume the company would be taking on. The contracts and new business begin in mid-October. The major contract also requires a “substantial investment” on the company’s part, at its warehouses in both Buffalo and Rochester.