Dutch food firm Vion is evaluating plans for a management buyout of its lamb processing business Welsh Country Foods in Gaerwen, Anglesey, UK, a move which is expected to save up to 350 jobs.
Welsh Country Foods was at a risk of closure after it lost a lamb supply contract with supermarket chain Asda. The lamb supply contract with Asda represented about 50% of business at the Gaerwen facility, which handles 640,000 lambs annually, according to Vion.
In January, Vion Foods announced that it could be forced to close the site unless a buyer can be found by April, when a 90 consultation with staff comes to an end.
Welsh Country Foods Gaerwen site director Eddie Ennis was quoted by BBC as saying that Vion is considering the offer for a management buyout.
Any deal would save about 50 to 70 jobs as the slaughterhouse and boning departments would continue to operate, Ennis added.
The Gaerwen plant was purchased by Vion Food in August 2008 when it acquired the Grampian Country Food and forms part of the Vion's red meat activities. Welsh Country Foods is the major processing facility for Welsh lamb in North Wales.
