Canadian company TC Transcontinental Packaging has announced its decision to shut down its Tomah packaging plant in Wisconsin, US.

TC said it will gradually phase out operations at the facility and will completely close the plant in early February 2024.

During this transition period, all operations performed by the Tomah facility will be transferred to the company’s other facilities located across the US in Battle Creek, Michigan; Clinton, Missouri; Elgin, Illinois; Lenexa, Kansas; and Spartanburg, South Carolina.

This will allow the business to ensure a smooth transition for its customers to further maintain high-quality services, TC said.

The impending closure of the factory will impact the 89 employees working at the site.

TC Dairy, Protein and Pet Food Latin America and New Zealand senior vice-president Jeff Lasley said: “In line with our priority of optimising the return on our assets, reducing costs and improving operational efficiency, we have made the decision, after thorough consideration, to close our Tomah, Wisconsin, plant.

“Servicing our customers in the most competitive manner is something we are constantly evaluating and taking action on.

“We regret the impact of this decision on our employees who have been a strong team of contributors since the acquisition of the plant by TC Transcontinental in 2018. We thank our 89 employees and will ensure they receive the respect they deserve, including support in their career transition.”

The packaging business of TC primarily specialises in providing flexible packaging solutions such as labels, die-cut lids, shrink films, and pouches for a variety of industries.

With operations across the UK, Canada, the US, and Central America, TC's packaging segment currently hires approximately 4,000 employees.

In June, TC announced the acquisition of Colombian agroindustrial company Banaplast.