Almost 40 jobs are at risk after a Eglinton based food company went into administration.
Millar Savoury Foods , whose customers include Asda and Sainsbury’s and who have collaborated with celebrity chef Paul Rankin, is understood to owe creditors around £500,000.
The High Court appointed McCambridge Duffy as administrators last week.
Ronan Duffy of McCambridge Duffy said he was “actively pursuing options to sell the business as a whole” but that the 36 employees had been advised that their employment was at risk.
Mr Duffy continued that “whilst it is early days in my investigation, a significant factor contributing to the Company’s insolvency is how fiercely competitive the food sector is. The Company appears to have been unable to pass on commodity price increases to its customers, the supermarket multiples”.
Derry MP Mark Durkan says it is a worrying time for staff.
“The potential loss of jobs at Millar Savoury Foods re-emphasises the importance of the Northern Ireland Executive adopting radical measures and fresh ideas to tackle the economic downturn without delay.
“Millar workers – as well as many other local firms and families in Derry who are struggling to cope – need to see the Executive doing everything possible to give them help and hope.
“That means coming up with new ideas to safeguard existing jobs and create new ones.”
The company makes convenience foods including sausage rolls, burgers, pies and scotch eggs.