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Norfolk turkey producer Bernard Matthews is set to cut 130 jobs.
The firm said it was beginning two staff consultation processes which are expected to result in a reduction of 130 of its 2,510 workers.
It blamed the "challenging economic climate" which has resulted in "increased price sensitivity and a need to lower costs to remain competitive".
It is estimated that about 35 salaried posts and about 95 process posts will be made redundant.
Noel Bartram, Bernard Matthews Farms chief executive, said: "While our focus on British turkey farming and the new product launches in 2008 stand us in good stead, our number one priority is the long-term sustainability and success of the company.
"We appreciate that this consultation process may cause a degree of uncertainty for our staff.
"As it progresses we will provide them with regular updates with regards to any further developments."
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