Denmark-headquartered seafood processor Espersen plans to close its Klaipėda plant in Lithuania and transfer production to Poland.

In what Espersen described as a “strategic consolidation” of its European operations, processing conducted at Klaipėda will now shift during the summer to its site in Koszalin, Poland.

In a statement, Espersen said the move is due to “evolving market conditions” and the “need to optimise operational efficiency”.

It added that the switch will allow the company to achieve a “more agile and cost-effective operation,” with the Koszalin facility offering potential for further expansion if demand rises.

Espersen has assured “support” for the impacted workers at Klaipėda, including providing job opportunities “where possible” at the Koszalin plant.

CEO Tino Bendix, who joined the business last year from fellow Finnish group Orkla, said: “The decision is difficult, particularly for our colleagues in Klaipėda, but it is necessary to align our primary production footprint with the realities of the market.”

Bendix confirmed that 306 people are employed at the Lithuania plant, which he said produces “blocks and natural products” but no value-added items. The final production run is slated for the end of June.

The CEO added that the Klaipėda and Koszalin facilities produce the same products and the Poland site, the company’s sole operation in the country, has current capacity to absorb the additional volumes from Lithuania.

No further consolidation plans are in the pipeline, Bendix said.

Espersen explained in the statement that the seafood sector is facing “shifts in demand”, with market projections indicating volume growth will remain “stable or slightly decline” over the coming years.

Currently, the processing giant is operating with surplus production capacity across its European sites and consolidation is a “logical step to enhance efficiency and maintain long-term competitiveness”, according to the statement.

Bendix added: “By consolidating production into a single, more efficient site in Koszalin, we are positioning Espersen for future success, strengthening our competitive edge, and ensuring that we remain a reliable partner to our customers.”

Espersen processes frozen fish blocks, frozen fillets, speciality cuts, and breaded and puff pastry fish products, with a focus on white fish species such as cod, haddock, hoki and Alaska pollock.

It also operates production facilities in Denmark, the UK, and Vietnam.

The company also confirmed that its primary production in Vietnam will remain “strategically important” to the business and “continue unchanged”.

In April, Espersen announced plans to invest in its UK seafood factory in Grimsby on the east coast of England inherited as part of its acquisition of Iceland Seafood International’s local operations.