30 jobs threatened at paper firm

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A tissue paper manufacturer has confirmed that it is in talks with a company to buy-out its factory in Gwynedd.

Kruger Tissue Ltd said the move is likely to see the closure of a warehouse in Caernarfon, which employs around 30 people.

The tissue firm said it had entered consultations with staff regarding the sale of the business.

Its Canadian-based parent company said it was part of a move to "exit the UK".

The tissue plant's main site is at Penygroes, employing more than 100 staff, with its warehouse operation at Peblig, in the nearby town of Caernarfon.

In a statement, the general manager of Kruger UK Tissue, Chris Wickham explained: "There is a proposal to consolidate the operation from two sites to one by means of an exit from the warehouse at Peblig.

"The proposal will reduce the cost of operating and allow the business to concentrate on the product lines that are more profitable, hence improving the future employment prospects for the employees on the site."

Kruger said take-over talks were being held with the paper import and supply firm Northwood Paper Sales, which is based at Harrow in Middlesex.