Smokehouse Holdings is planning to open a new processing complex in Cumbria, from which it will introduce smoked salmon 'bacon' to Europe.

The salmon processor, which owns majority stakes in The Organic Smoke House and Grants Smokehouse, has already invested £2m in the former Cumbrian Seafoods-owned plant at Maryport. It plans to process 5,000 tonnes of frozen salmon there for the US and Europe.

A further £4m will be invested in a totally new plant for producing value-added smoked salmon products, such as value-added party packs, bagel slices and smoked salmon 'bacon' a specially cured salmon that has a taste reminiscent of bacon. The company already supplies these to the US and hopes to grow the market for them in Europe. The new plant is set to open in June 2011 with a target of £30m in sales by December 2012.

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