Dozens of jobs are to be axed at a Tayside herb firm after its owners confirmed plans to close it down.
Scotherbs Ltd in Longforgan is to wind down operations in the coming weeks as a result of the loss of a major contract.
It is the second jobs setback for Tayside in a week, coming after it was announced Johnson Matthey Battery Systems in Dundee is likely to close its operation with the loss of up to 60 staff.
It is believed Scotherbs staff were made aware of the plans on Monday.
Ian Summerfield, chief executive of the Langmead Group, the firm which bought Scotherbs Ltd last summer, said: “Langmead Herbs has entered into a consultation with staff at their Longforgan site (Scotherbs Ltd) about its closure.
“This is the result of the loss of a contract representing nearly half of the group’s turnover.
“The Longforgan site has been loss-making for some time and the reduction in volume means there is an urgent need to review its economic viability. The pressure on margins within the produce industry has led to supplier consolidation and inevitably packing site reduction.
“It is a difficult time for the staff and suppliers of the business and the management will be working hard with the staff to support them throughout the process.”
A member of staff, who did not want to be named, said there was widespread surprise at the news.
The worker said: “Around 60 people work at Scotherbs. We were all very happy at the start of the week. But then we were called into a meeting and told there was bad news.
“Everybody is shocked and angry at what we have been told.
“Apparently our jobs will be going on November 15 or 16.”
Scotherbs Ltd was bought by Langmead Farms, part of the Langmead Group of agri, plant and energy businesses, last summer.
It was founded by former dairy farmer Robert Wilson and is one of the largest suppliers of fresh herbs in the UK, with goods available in many supermarkets.