Imperial Tobacco is close its manufacturing facility in Mullingar, Co Westmeath with the loss of 87 jobs.

The company, whose brands include Golden Virginia and Drum, said it expected most employees would leave in October.

The factory has been in operation since 1967. The decision to close the facility follows on from a decision by the European Union to introduce a 30g minimum pack size for rolling tobacco products last month.

Imperial said the new ruling had led it to decommission a number of production lines at the Mullingar factory. Remaining production is to move to another of Imperial’s manufacturing sites in the Netherlands, the company added.

The company will now enter into a 30-day consultation process with employees about redundancies.

"Any job losses are regrettable and we will continue to support our employees and ensure that they are treated in a fair and responsible manner," said Ian King, operations director of Imperial Tobacco.

The company stressed there would be no change to the sale and availability of its brands in Ireland.