The plant, which produces premium dessert products, is set to close in July due to its loss-making status over the past six years, running into losses of “tens of millions of pounds”.
A spokesperson for parent company Samworth Brothers said: “It is with regret that we are beginning a formal consultation with our staff regarding the potential closure of Kensey Foods in Launceston.
“Despite significant financial investment and the commitment and hard work of everyone, Kensey Foods has now been loss-making for the last six years. When combined, the investments and annual losses have added up to tens of millions of pounds, and this is not sustainable for any business.
“In addition, the age and capability of the plant and assets have reached a stage at which significant additional capital investment is required, which is not commercially viable. It is proposed this closure would take place by the end of July.”
The business said it would be working to help those impacted by the closure.
“We understand this announcement will be difficult for our colleagues at Kensey. We will be doing everything we can to support them through this consultation process.
“In the event of a closure, it is hoped there will be opportunities for a good number of individuals to redeploy to our Callington bakery (The Cornwall Bakery) and there are also vacancies across our group in other locations. We would also work with the local job centre, employment agencies and local companies to help people find suitable new roles.”
In July 2018, Cornwall-based bakery Crantock Bakery closed with 109 jobs lost, while in June of the same year, Tulip axed 105 jobs at its Bodmin site.