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Frozen foods giant McCain Foods South Africa has announced that its closing its operations in George.
In a cost-cutting move, McCain will centralise its operations at its factory at Springs in Gauteng.
Managing director Louis Wolthers says the availability of cheaper products from China and Western Europe had put massive pressure on its operations in the Southern Cape.
He said McCains was currently in discussions with trade unions over the matter.
As many as 45 vegetable producers in the Southern Cape have contracts with McCains.
The move will affect 150 workers at McCains George outlet and as many as 500 farm workers in the area.
