EL PASO, Texas (KTSM) — A Mexican food production company is planning a $22 million expansion and investment in the Borderland, according to an announcement from the City of El Paso.

The El Paso City Council approved a $715,771 performance-based incentive agreement with Grupo Bafar on Monday, Oct. 23. The City also said County Commissioners Court approved nearly $166,000 in incentives for Grupo Bafar.

According to the City, Grupo Bafar plans to acquire and renovate the Kasco Structures building in South El Paso and construct a new 60,000-square-foot cold storage warehouse. The project will create 120 new full-time jobs at a wage rate of at least $17.65 and retain 155 existing jobs in El Paso while helping tackle the challenge of “food deserts,” according to the City’s news release.

“For 40 years, Grupo Bafar has been dedicated to making high-quality food that customers love,” said Jorge Alberto Baeza Fares, Bafar Alimentos CEO. “Grupo Bafar is excited to grow our roots even deeper in El Paso. We’re grateful to the City of El Paso, the El Paso County and Borderplex Alliance for their tremendous support as we work to better serve our customers across Texas and the United States.”

“Grupo Bafar has been an important part of the El Paso business community since 1987. We are happy to support companies like Grupo Bafar who not only see great potential in our community but also aligned with the City’s climate goals, by committing to securing 95% of the new facility’s power needs from solar energy,” said El Paso Mayor Oscar Lesser. “Together, we look forward to a future that is not only brighter but also more prosperous for El Paso, with Grupo Bafar as an instrumental contributor to our growth and success.”

“Cultivating a thriving local economy requires more than just ambition, it demands a commitment to excellence and the relentless pursuit of quality,” said County Judge Ricardo Samaniego. “BAFAR Holdings contributes to the local supply chain of El Paso County by supporting its logistics operations by using the Tornillo-Guadalupe Port of Entry, which serves as a gateway for trade and commerce. It’s also refreshing to see their dedication to hiring local talent, which plays a crucial role in driving growth and resilience in our community.”

“We’re thrilled Grupo Bafar has chosen to significantly grow its presence right here in El Paso,” said Jon Barela, CEO of the Borderplex Alliance. “This expansion brings new opportunities that will benefit our whole region.”

Grupo Bafar also aims to expand its grocery store presence in Texas over the next five years, bringing even more job opportunities to the state, according to the City.

The company’s new positions will include roles in operations, maintenance, sanitation, quality control, warehouse logistics, and more. Grupo Bafar has more than 12,000 employees worldwide.

“The company’s continued investment in the region underscores its belief in El Paso as a hub of economic opportunity,” according to the City’s news release.