Nuova Castelli, the Italian cheese company soon to be owned by French dairy giant Lactalis, has closed a plant in the US.
Some 50 employees have been affected by the decision to shutter the facility in Ashville, New York.
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It was Nuova Castelli’s only US production facility, although it does have a distribution centre in New Jersey.
Officials at the local Chautauqua County said they had received news of the closure from local subsidiary Castelli America.
Nuovo Castelli Group, which is based in Reggio Emilia, Italy, is a producer and distributor of a variety of Italian cheeses including Parmigiano Reggiano, Mozzarella di Bufala Campana and Gorgonzola. Previously owned by UK-based private-equity firm Charterhouse Capital Partners, it was sold to Lactalis in May and the deal is expected to close next month.
The company bought the former Empire Specialty Cheese manufacturing plant in Ashville in September 2016.
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By GlobalDataIn a statement Chautauqua County said that over the past few years, the facility has benefited from more than US$8m in upgrades to its equipment, building structure, and waste treatment facilities and has secured two federally-funded grants to expand the facility and create additional jobs.
Mark Geise, deputy county executive for economic development and CEO of the County of Chautauqua Industrial Development Agency (CCIDA), said: “We were informed that Castelli America has been experiencing challenges related to production and sales.
“This is a state-of-the-art facility with a ready source of milk producers, and the CCIDA is hopeful that the facility will be attractive to potential new operators.”
just-food asked Lactalis for further information on the closure but a spokesperson said the company has “decided to not comment until the end of the closing”.
