Avara Foods: 400 jobs at risk due to proposed Abergavenny factory closure

All colleagues based at its South Wales site are impacted by the proposals. Credit: Avara Foods

Hundreds more food industry jobs are at risk after proposals to close a factory in Abergavenny.

Avara Foods plans to shut its South Wales turkey factory in Autumn 2023, impacting all colleagues based at the site.

The company says it has faced significant inflationary pressure in fuel, commoditiesand labour, which has driven up pricing and significantly reduced demand for UK-produced turkey in the retail market since the pandemic.

Avara Foods supplies chicken and turkey to supermarkets and restaurant chains. Credit: Avara Foods

In a statement, Avara Foods said: "To maintain a competitive customer offer, Avara has started to reengineer its turkey business to operate a more efficient operational footprint focused on fewer, better invested facilities.

"Over the past six months the company has looked in depth at a range of options to enable its wider business to compete effectively in the market in the future. These included different potential uses for the Abergavenny site.

"Regretfully, this process identified that volumes could be processed more efficiently in other operations and with lower capital investment. This has resulted in the proposal to close the Abergavenny site.

"This difficult decision has not been taken lightly and in no way reflects on the hard-working colleagues.

"In the coming days Avara will begin a collective consultation process with the individuals that are affected by this proposal. The nature of this consultation means that no final decisions have been made and there will be no speculation as to how the process will conclude."

Avara Foods is one of the UK’s largest food businesses, supplying chicken and turkey to supermarkets and restaurant chains.

The Abergavenny facility was part of the acquisition of turkey processor Cranberry Foods by Faccenda, in 2012. It is a ‘cut and pack’ operation, predominantly preparing a range of fresh turkey products, alongside some chicken lines, for retail customers, and is staffed by around 400 employees.

Avara Foods plans to shut its South Wales turkey factory in Autumn 2023. (stock image) Credit: Avara Foods
Owners 'heartbroken' at factory closure with 250 job losses

The Welsh Government said it is in touch with the business to "explore options".

A spokesperson said: "We are aware of Avara’s announcement, which will come as a major blow for workers and the community. We are in touch with the business to explore options and stand ready to support those impacted by the news."

A topical question has been submitted in the Senedd on Wednesday (May 24) following the announcement.

Peter Fox MS, Welsh Conservative Shadow Minister for Finance, said: "The potential job losses will have a considerable impact on the local economy and the lives of the workers and their families.

"I feel for the workers who are living in limbo, waiting for news about whether their jobs are safe. This is another huge blow for the area, with Tillery foods entering administration last week, I can only hope that this is not a sign of future job losses in the area.

"In light of this distressing news, I have submitted a topical question in the Senedd to ensure Labour Ministers outline what urgent action is being taken to support those impacted."

Avara Foods' announcement is the latest blow to the Welsh economy and food industry. Around 250 jobs were lost after the closure of a food factory in South Wales.

Tillery Valley Foods, in Abertillery, confirmed it was going into administration last week, while a hundred jobs were lost at Garth Bakery in Abercynon in December and 700 jobs were lost in at a chicken factory in Anglesey.