Peter’s Food Service, a UK manufacturer of savoury baked goods, is to create 110 jobs after a “significant increase in orders” resulting from an on-going business review.

The Bedwas, South Wales-based business – which makes pies, pasties, slices and sausage rolls under the Peter’s brand – said it is already in discussions with workers who were made redundant following the recent closure of the Triumph furniture factory in nearby Merthyr. 

It is also to change to a two-shift operation later this month to meet demand.

Peter’s said its new deals are to supply “several leading UK brands and retailers” but did not name them “for commercial reasons”.

Managing director Mike Grimwood said: “The past few years have seen extremely challenging market conditions, particularly with an exceptional increase in raw material costs.

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“Last year, we announced a strategic review of our business to ensure its sustainability and ultimately future growth.

“As a result of this review a decision was taken to terminate several contracts which we considered unviable for the business, and to explore discussions with others where we identified mutually beneficial opportunities.

“In addition, we have invested heavily in innovative products that will aid us to diversify into new product areas whilst maintaining the core heritage products that Peter’s is famous for.

“These new deals are a consequence of that on-going business review.”

The company currently employs 730 people and has annual revenues of GBP65m (US$83.1m).