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Garavilla To Close Cuca Cannery Spain, December 11, 12

Spanish canner Conservas Garavilla, owner of the popular Isabel brand, plans to shut down its tuna factory in Villagarcia and move its activities to the group’s existing plant in O Grove, Pontevedra.
Villagarcia’s mayor, Tomas Fole, does not support the change and called it “bad news for the town.” He told local media that he will push to keep the factory’s 110 workers in Villagarcia.
Garavilla has been backed by MCH Private Equity since 2010 and in June 2011, the company acquired Conservas Cuca, a premium canner of fish and seafood products, and subsequently took over its cannery.
Fole was supposed to meet with Cuca’s owners and union representatives yesterday to discuss the situation. The cannery’s owners say the decision to merge its tuna production is to profit and not because there are financial losses. The O Grove factory is expected to produce Isabel’s flagship products as well as the Cuca and Masso brand lines.
According to union leader, Francisco Vilar, the transfer could leave about 400 people – both in Villagarcia and O Grove – unemployed.
Garavilla has four production plants in total - two in Spain, one in Agadir, Morocco (managed by Societe Nouvelle Cosamo) and one in Manta, Ecuador (managed by Conservas Isabel Ecuatoriana). The company also has divisions in France and Colombia and owns a 33% stake in Atlantic Food Group, which operates a plant in Colombia.