Kirimi bites. (Photo: Sealord)

Sealord stops producing kirimi in Nelson

Sealord Group has ratified its decision to stop producing kirimi, a breaded hoki product the company sold to a major Asian customer, at its plant in Nelson.

Three weeks ago the seafood company based in Auckland announced difficulties due to increasing competition from cheaper offshore producers, and a falling demand.

The decision will lay off 42 production and two managerial employees.

"It is important to note that the final number of impacted people will depend on how many are able to be retrained and moved into other available roles either on land or sea," Sealord said in a statement.

On his part, general manager fishing, Doug Paulin, stressed, “When considering the financial impact and the assessment of losses over time associated with these products, the current situation was not sustainable for Sealord."

Likewise, the executive said that there would be no loss of production for Sealord's New Zealand operation, with the fish used for kirimi instead processed through the Nelson wetfish factory.

Moreover, the executive highlighted the firm’s "solid financial shape".

"However, like any successful business we do have to continue to adapt to manage the ongoing challenge of rising costs, globally flat white fish pricing and other competitive pressures," he noted.

By the end of last month, Sealord had announced its annual profit saw a 62 per cent reduction compared to the previous year as a result of falling sales due to low world prices.

The deep-sea fish operator owns 30 per cent of New Zealand's hoki quota and last year caught nearly 58,000 tonnes of this resource.

Related article:

- Sealord profits plummet due to falling sales

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