It’s just before lunchtime and the dairy next to the Maketū Pies factory is bustling.

Some clutch paper packets containing flaky, golden pastry wrapped around a piping-hot filling.

Maketū Pies has been a fixture of the tiny coastal Bay of Plenty town since 1982 and is considered a major employer, but its future is in jeopardy again.

The business that owns the brand, Maketū Foods Ltd, was placed into voluntary solvent liquidation last week.

Residents of Maketū — population 1311 in the 2023 Census — worry the brand will be lost and dozens of pie-makers will be out of a job.

It’s not the first time the town has faced the possibility.

They hope a buyer will save the day, as happened when Te Arawa Management Ltd bought the national pie supplier in 2019 during a receivership process.

The company, a subsidiary of the Rotorua-based Te Arawa Lakes Trust, has said it has operated at a loss since.

At the time of the sale, 30 potential buyers were interested in the business, which then employed about 40 people, mostly locals.

Potential Maketū Pies closure ‘hurts a lot’

One woman, who wished to be anonymous, told Local Democracy Reporting near the factory that the community hoped one of those buyers was still keen on Maketū Pies.

She said while Maketū was rich in many ways, money was not one.

Hardship was real, and some struggled to pay rent.

Iconic Maketū Pies has gone into solvent liquidation. Photo / Laura Smith

The community was “stressed at the best of times” and the news of a potential closure compounded that, she said.

“It hurts a lot.”

Some staff had been at Maketū Pies their whole working lives, and some had several generations of family members working alongside them.

She did not think finding suitable employment opportunities would be easy, especially with limited bus options — the only one to Te Puke or Tauranga leaves at 10.30am.

The factory was like the town’s “backbone” she said.

“It’s part of our life here.”

The liquidation news was “devastating” and left the community “staggered”, she said.

It was all residents were talking about, and she said the hope was someone would buy it or take over the premises in another way.

Maketū Pies has gone into solvent liquidation and the town fears for its closure. Photo / Laura Smith

She said people in the community were talking about how to keep it going.

“We’re all in the same boat, a lack of funds, how are we going to do it?”

Another woman, Lee — who did not want her surname used — said the business was an icon and any closure would be “huge for this little town”.

She also hoped someone would take it on as that “gives the workers some options”.

She believed there was potential in the building, such as for cooking apprenticeships.

Maketū  Pies has gone into receivership. Photo / George Novak

“Everyone’s broke but maybe people can come together to keep it going.”

Her favourite pie was the smoked fish.

Joe Tapsell, also a lifelong Maketū resident, said lots of people in the community were talking about the liquidation, but no one knew what might happen.

Business will be for sale: liquidators

The liquidation of Maketū Foods Ltd is being managed by BDO Tauranga.

A BDO statement to Local Democracy Reporting said Paul Manning and Thomas Rodewal were the appointed liquidators.

“This company operates a food manufacturing business under the iconic Maketū Pies brand.

“Following a review of the business operation, the company shareholder resolved to exit the business as soon as possible.”

“After taking advice, the company was placed into solvent liquidation as it is expected all creditors and staff will be paid in full.”

Maketū Pies in 2019 when it was placed into receivership. Photo / George Novak

The business and its assets, including intellectual property such as the brand name, will be for sale.

It will continue to operate while an exit strategy was finalised.

A notice in the Bay of Plenty Times of the liquidators’ appointment noted January 13 as the last date for creditors to make claims and establish any priority.

The first liquidators’ report is expected this week.

Mayor hopes Maketū Pies will get ‘another life’

Rotorua Mayor Tania Tapsell, who has previously lived in Maketū, said many generations have fond memories of Maketū Pies so it was sad news the business may close up shop.

“This reflects how challenging times are currently and we’re grateful that Te Arawa Management Ltd tried to keep Maketū Pies open not just for the great pies, but also for the many staff who will be impacted by this.”

She said it was “reassuring” to hear staff were being looked after during the liquidation process.

“We hope that in future there is another life for the iconic Maketū Pies and we can enjoy them once again.”

Rotorua Mayor Tania Tapsell. Photo / Laura Smith

Te Arawa Management Ltd interim chief executive Tina Kilmister-Blue, in a letter to community leaders on Thursday, outlined the sector challenges, which included increasing costs and smaller margins and how it could “no longer continue to contribute further investment to keep operating”.

Some “serious” options to retain the business were investigated but none were viable as they required significant investment.

“We appreciate all our people over the lifetime of Maketū Pies have contributed towards a Kiwi icon that will be remembered for years to come”.

Laura Smith is a Local Democracy Reporting journalist based at the Rotorua Daily Post. She previously reported general news for the Otago Daily Times and Southland Express, and has been a journalist since 2019.