Delpierre, owned by Labeyrie Fine Foods, said it will close the Wiches salmon packing plant in France's eastern Alsace region and shift production to other sites within the group.

The move comes amid falling demand for smoked salmon in France and competition from lower cost production operations in Poland that has encouraged supermarket chains to squeeze the margins of processors.

French smoked salmon consumption has fallen to 14,000 metric from 20,000 metric tons in recent years, as consumers have shunned the product amid negative publicity surrounding fish production methods.