As per the information Hiramasa kingfish processing factory in Whyalla will close its doors next month after a local fishing company Clean Seas decided to move all processing operations to Port Lincoln to save money. According to CleanSeas there was a $14 Million half-year loss in February, plunging the company’s future into uncertainty.
Clifford Ashby, company’s managing director, said that it is disappointing jobs have been lost in the processors closure but it’s purely a business decision. He says the contract went out on a fair tender process and a Port Lincoln processor was the successful applicant.
He added that this buyout will give greater volumes which will boost its economic benefits. Ashby says the decision makes better sense both cost-wise and logistically for CleanSeas. He told that the decision provides opportunities for the processor in to build and grow sustainable business and take more employees on so whilst this is a negative in one area, hopefully there’s a positive for the other.
Australian Hiramasa managing director Tom Dawson is not really happy with the development. He says he works with a great team of people and finding out CleanSeas will no longer use the factory came as a real surprise. He informed that the Whyalla fish processor has been operating for 10 years and only processes Kingfish, under a contract with Cleanseas.
According to Dawson CleanSeas share value must have a role to play in his company losing its contract. He told that all were aware of the results that Cleanseas had in the previous six months so it’s quite likely that they needed to look at opportunities to get some cost out of their operation.
