Gladstone’s Austicks will cease production and import its product from France, shedding 50 jobs.
The company, the only factory in Australia making ice cream sticks and coffee stirrers, has cited costs, including factors such as WorkCover and the high Australian dollar.
"It's crashing now, but about 18 months (ago) we lost an overseas customer just because of the cost of the dollar, the company’s accountant, Madeleine Spry, told the Gladstone Observer.
"It's very, very sad - the cost of manufacturing in Australia, just goes up and up and up."
At its peak, the company was creating 1.5 billion sticks a year, according to its website. It will retain two workers after October, lease its factory site, and import sticks from France.
Austicks has been operating since 1992.