A leading U.S. onion producer has begun construction of a new 70,000-square-foot packing facility to help it prepare for considerable growth. 

River Point Farms is building the plant at the company's headquarters in Hermiston, Oregon, and says it will feature 'state of the art' equipment.

A release said the new facility underscored the organization's commitment to providing a high quality product with an unparalleled level of service to its contract clients, amid a capital expansion plan valued at US$17.5 million for 2014 to 2015.

The new facility will feature in class equipment that River Point has vetted over the last two years in preparation for its doubling of production and shipping capacity in the next 12 months.

"As we nurture our current customers and prepare for growth, seamless execution in packaging and shipping facilities is paramount to our success," River Point CEO Bob Hale said.

"The new packaging facility provides us with an opportunity to fully automate our whole onion sorting and packaging process with a high level of accuracy and efficiency and also allows us to convert our current packing facility into a state of the art, shipping facility."

The release added the new facility would allow for amplification of capabilities and improvements in partnerships with customers as a single-source, year-round supplier of farm fresh onions.

During construction, River Point Farms will continue to operate normally out of its current facility until the day of the transition.

The project is estimated to be completed by end of July 2015.

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