Lammes Candies shuts all retail doors after 141 years as confectionery sector grinds to a halt
The Austin-based manufacturer is closing its Round Rock outlet and final production facility, though online sales will continue indefinitely.
A century and a half of family legacy has come to an end for Lammes Candies, which has announced the closure of all its physical retail locations. The Austin, Texas-based confectionery giant, which has operated since 1885, confirmed the decision via a notice posted at its Round Rock store on April 24, 2026. The shutdown affects two specific sites: the Round Rock outlet and the company's final location in Austin, which also houses its manufacturing facility.
Co-owner Lana Schmidt confirmed that while the physical footprint is ceasing, the business will not disappear entirely. The company plans to continue online sales for an indefinite period, provided sufficient inventory remains. This strategic pivot marks a significant shift for a brand historically defined by its brick-and-mortar presence across the Texas Hill Country, where it once operated seven locations six years ago.
The move is driven by a convergence of long-term sustainability issues and shifting market dynamics that have strained the industry. Economic pressures, including elevated cocoa prices and rising labour costs, have made the cost of doing business prohibitive. Tracey Allen, an agricultural commodities strategist at J.P. Morgan, noted that the hangover from last year's fourth-quarter highs in cocoa prices has come to roost, reflecting a historic increase in operational costs.
Allen highlighted that the decline in cocoa bean availability has weakened industrial demand in an environment where cost pass-through is often limited by supermarkets and retailers. This context explains why Lammes Candies, like other players in the sector, is forced to reconsider its viability. The combination of inflation and rising interest rates has further prompted consumers to tighten their belts on non-essential spending, compounding the financial strain on the retailer.
Historically, the company has navigated similar economic tides, discontinuing ice cream and 'gem' frozen fruit desserts in 1965 following a decline in popularity after World War II sugar rationing ended. Today, the business is best known for its Texas Chewy Pecan Pralines, introduced in 1892, which remain the top-selling product and produce approximately 2,000 pounds daily. Other offerings include Longhorns, Choco'Adillos, and Cashew Critters.
Despite the closure of its retail arm, the company expressed deep gratitude to its employees, customers, and community for their support over 141 years. Lammes Candies stated it will begin an orderly wind-down of operations, a process that includes fulfilling remaining orders and supporting staff through their termination. The closure of the Austin facility, which includes the manufacturing plant, signifies the end of an era for this historic institution.
