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The strong New Zealand dollar has been blamed for the closure of a Hawke's Bay processing site, with the loss of seven full-time and 120 seasonal jobs.
Gisborne-based Cedenco Foods would shut its Hawke's Bay Omahu Road frozen food processing site, managing director Richard Lawrence said.
The continuing rise in the New Zealand dollar meant the plant was no longer economically viable, he said.
The plant processes food primarily for export.
The Southmark Quality Foods site was bought by Cedenco about 18 months ago.
"We are extremely disappointed for all of the employees affected by this decision, and we will provide assistance where possible to help them find alternative employment," Mr Lawrence said.
Cedenco Foods will continue to operate two Gisborne factories and its Whakatu based food-processing factory.
Mr Lawrence said all exporters were finding it extremely hard.
Cedenco was having the same difficulties in all its businesses and would be making changes throughout them before next season.
"The export market is currently extremely difficult and we have found ourselves uncompetitive with other options that are available to our customers."
- NZPA
