US-based plastic container producer Graham Packaging is planning to close its New Jersey plant in September.

The closing will affect 63 hourly employees and eight salaried workers associated with the plant.

The company has already sent a letter to town officials regarding the shutdown, reported Lehighvalleylive.

"The decision to close the Belvidere plant a result of (the) company's declining sales volume to the point that it is no longer feasible to continue operating the plant."

In a letter sent to the mayor, Graham Packaging was quoted by media sources as saying: "The decision to close the Belvidere plant is not a reflection of the workforce, but rather a result of (the) company's declining sales volume to the point that it is no longer feasible to continue operating the plant.”

The company also stated that some employees may be retained to dismantle equipment, as well as perform packaging,  shipping and general cleaning activities.

However, Graham Packaging mentioned that the affected employees could apply for positions at the company's other locations.

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In June, the company closed a plant in Baltimore that employed 79 people, reported

Established in 1970, Graham Packaging provides bespoke services to several firms and small independent businesses.

The company is reportedly planning to form a global headquarters with Closure Systems International and Evergreen Packaging in Memphis, US, according to Plastics News.