Cepac proposes closure of Darlington corrugated tray plant, 63 jobs at risk
Cepac has proposed closing its Darlington corrugated tray plant, putting up to 63 jobs at risk, after heavy financial losses at the site. The facility produces small corrugated trays under the Flutepac brand, whose expected market growth failed to materialise despite investment in new equipment. A 30-day redundancy consultation with employee representatives is under way before any final decision.
Why this mattersThe closure signals weaker-than-expected demand for fibre-based tray substitutes in a segment several converters have targeted for plastic replacement.
- Cepac proposes closing its Darlington site with up to 63 job losses
- The site makes small corrugated trays under the Flutepac brand
- Closure is attributed to heavy financial losses and slower-than-expected market growth for Flutepac
- A 30-day redundancy consultation with employee representatives has begun
- Company invested significantly in new equipment before the downturn in demand
- Cepac plans to help affected staff find roles at other Cepac sites or regional employers