Workers at Prime Seafoods Factories in Peterhead and Fraserburgh were left jobless after being told that the company was to close due to financial difficulties.
Its 70 employees were told at lunchtime that the factory was going to close due to lack of fish and overheads which were too high. An hour after this, the company had deleted its website and Facebook page as well as its phone line going dead – now confirming it has ceased trading.
Jimmy Buchan, Chief Executive of the Scottish Seafood Association was absolutely flabbergasted by the abrupt demise of the 40-year-old firm.
It is thought that the vulnerability of the industry, particularly due to high business rates had a part to play in its closure. Poor weather, fluctuations in fishing quotas and falling demand for fish products can also be linked to its demise.
Brian Topping, councillor of Fraserburgh and District has pledged his support to those affected. He has been in discussions with the company to see what Aberdeenshire Council or the Scottish Government can do to help. Not only is this terrible news for the business but also the workers and their families. A domino effect is expected on other businesses in the town serving the company and its employees.
Prime Seafoods last published accounts detailed up to the end of May 2018. They had a turnover of £28 million but suffered with pre-tax losses of £236,000 after a trading shortfall of more than £317,000 the year before.