SunGold Specialty Meats has laid off 75 people, more than half its workforce, according to the Alberta Farmer Express.
The plant in Innisfail, Alberta, processes beef and is currently the largest lamb processor in Canada. Canada Gold Beef bought the plant in February.
The plant’s general manager, Howard Oudman, cited difficulties with the European Union’s quota system for beef imports.
The plant will instead focus on lamb, Oudman said. "We're at just over 1,000 (head of lamb) a week and we would like to increase that upwards of 1,500 a week," he told the Alberta Farmer Express. "We still do some beef and some bison on a custom basis, we've kept that line going for one day a week. But we've reduced the beef kill and processing by approximately 300 head."
SunGold did not immediately respond to a request for additional information.