Hi jdlack,
It is not a phrase I have encountered frequently in the food industry, if used it has been to describe a process of product development.
Remanufacturing - Wikipedia
Remanufacturing is "the rebuilding of a product to specifications of the original manufactured product using a combination of reused, repaired and new parts".[1] It requires the repair or replacement of worn out or obsolete components and modules. Parts subject to degradation affecting the performance or the expected life of the whole are replaced. Remanufacturing is a form of a product recovery process that differs from other recovery processes in its completeness: a remanufactured machine should match the same customer expectation as new machines.
In the food industry rework, reprocess are more common terms.
The situation you describe I would say is further processing. Cutting and packing of large cheese blocks for retail is very common and I’ve never heard it referred to as remanufacturing.
Kind regards,
Tony