Name: Sugar factory closure ripples throughout California town
Uploaded: 2025-12-11T01:22:03.662Z
Duration: 2 min 57 s
Description: More than 1 million American workers have been laid off this year -- several hundred of them in Brawley, California. Mark Strassmann traveled there to examine the ripple effects of those layoffs on the local economy.

More than 1 million American workers have been laid off this year -- several hundred of them in Brawley, California. Mark Strassmann traveled there to examine the ripple effects of those layoffs on the local economy.

Brawley

The closure of a sugar processing plant in Brawley, California after 78 years has led to the loss of over 400 jobs, significantly impacting the local economy. The plant's parent company cited operational challenges despite a $100 million investment, leading to a sharp decline in business for local trucking and agricultural operations.

Brawley, a town of 26,000 with California's highest unemployment rate, has seen a 12% drop in sales tax revenue and reduced spending across local businesses. Residents and officials describe the situation as a severe economic crisis, but the community remains determined to persevere and seek new opportunities.

Sugar factory closure ripples throughout California town

In our Eye on America series, we don't just report events, we look at the impacts. More than a million American workers have been laid off this year, several hundred of them in Brawley, California. Mark Strassman traveled there to examine the ripple effects of those layoffs on the local economy. And what he found was a region in an economic state of emergency. When Brawley, California lost its sugar plant, there was no way to sweeten the pill. What? We're closing the plant. Were you shocked? Nobody wants to believe the worst. Lawrence and Henry Horta, father and son, own semis that hauled sugar beets from local farms to spreckle sugar for processing. In a nod to national trends, economic conditions changed. Its parent company says it invested $100 million into the facility, but the operational challenges were too great. After 78 years, the plant shuttered in August. How important was that plant to your business? Like 80%. 80%? Gone? Yes. For us, yes. We're left with nothing. Brawley, population 26,000, sits a two-hour drive east of San Diego, agricultural, blue-collar, and dizzy from losing more than 400 jobs. It's going to be a tough ride. I think the people understand that. We caught up with city councilman Gil Rebolar, the former mayor here. But a community like Brawley, a couple hundred jobs, it's not just a dent, it's a gaping wound. The struggle for a lot of families is real. The struggle is real for many families that call this place home. Even before the plant shut down, many people here were living paycheck to paycheck. This area has California's highest unemployment rate. Without sugar, Brawley is taking its lumps. Local sales tax revenue year-to-year dropped 12%. Many people stopped spending. Buying tires, buying parts, stocking here, fuel, all that, I have to cut up. Those businesses could be in trouble, too. Oh, yes. They are. Those are going to be in trouble. This is alfalfa here. Jim Mamer's in trouble. He owns all these tractors, cutters, defoliators and choppers that harvest sugar beets. If the plant was still open, what could you get for it? Right about $45,000, $50,000. If Mamer tries to sell, he could get cut down. And now that the plant's closed, what can you get for it? Probably $15,000. $15,000. Get our rags so we can check the oil. If there's good news, it's this. Brawley people are fighters. We got to survive. We got to keep on working. We got to make a living. Everyone's looking for the same thing, a sprinkling of new hope. For Eye on America, I'm Mark Strassman in Brawley, California.

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