Bakkavör has announced that it will close its English Village Salads business at the end of the month, with the loss of around 140 jobs.
A spokesperson for the own-label manufacturer told just-food that the decision was the direct result of the loss of a salad packing contract with Asda, which decided to take its business inhouse in September.
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The loss of this contract, combined with the “ongoing challenging trading environment” meant that EVS’s volumes had dropped substantially.
“Management has concluded that the business would not be viable going forward,” the company said in a statement.
Melrow Salads, another Bakkavör subsidiary, will take on the existing customer and grower relationships, the group added. However, a spokesperson for Bakkavör declined to reveal the volume of business being transferred to Melrow.
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