Chilled foods supplier Bakkavor has closed its plant in Canada just two years after the opening of the site marked the UK-based firm’s entry into the country’s grocery market.

Bakkavor said it had decided to shut the “loss-making” factory in Cobourg, the base of its Canadian operations, after a review of its business in the country.

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The own-label group opened the plant, its first in Canada, in July 2011. At the time, CEO Agust Gudmundsson said Bakkavor wanted to be a “leading supplier of fresh prepared foods” in Canada. It had signed a deal to supply one of Canada’s “largest grocery retailers”, althogh the company did not name the customer. Products made at the Cobourg factory include Italian and Asian meals, soups and side salads.

Bakkavor said its operations in the US would be “unaffected” by the closure of the Canadian plant.

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