Uniq Desserts ends yogurt production at Minsterley
About 50 jobs are under threat after a Shropshire food company announced it is to stop making yogurt products.
Uniq Desserts said the reason for the decision "to exit yogurt" at Minsterley was "entirely commercial".
The firm said it appreciated the news would cause further uncertainty when people were working hard to return the business to profitability.
It added a consultation process with workers potentially at risk of redundancy had started.
Site managing director Steve Hill said the reason for the decision was "in no way a reflection on the levels of quality and service that the yogurt team has been consistently delivering over the past few years".
Meanwhile, Dublin-based Greencore has offered £113m to buy Uniq.
Greencore said the acquisition would bolster its scale in the food-to-go and chilled desserts categories.
Uniq's 1,900 workforce makes sandwiches from a site in Northampton, salads at Spalding and desserts at Evercreech, Somerset, as well as at Minsterley.