McCain Foods based in Florenceville, New Brunswick has announced it will be closing its French Fry facility in Borden-Carleton, P.E.I. after a shift in demand for French fries from North America to other regions.

McCain Foods says production at the P.E.I plant has declined by two-thirds over the last ten years, making the facility the company's smallest and least utilized in North America.

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Company officials say there are several contributing factors to the shut-down. Other than shift in demand, they say a continuous strong Canadian dollar and increased efficiency at other plants also contributed to the closure.

A total of 121 people will be impacted when the plant closes October 31st.

McCain Foods officials say they will work with the P.E.I. government and spend $2 million to create new jobs for the affected employees.

McCain Foods, whose global and Canadian headquarters are in Florenceville, N.B., operates nine processing facilities across the country with about 3,000 employees.