However, eight jobs will be cut as a result of the closure, announced by the company this morning.
Greig has five farms on Skye, too small a business to operate as a separate unit and too distant from Shetland to manage as one unit.
‘As supportive resources and equipment for the Skye operations have had to travel all the way from Shetland, Grieg Seafood has regrettably not been able to maintain the fish welfare and production standards that it has for the rest of the company,’ the company said in a press release.
The transportation of resources and fish between Skye and Shetland has also had a high carbon footprint in comparison to other salmon farming operations.
The decision to wind up the Skye operations was expedited after the loss of 627,000 fish (1,500 tonnes) between late July and early September, mainly caused by abnormal levels of jellyfish.
Operations at the impacted sites are to be discontinued immediately, while operations at the two remaining farms will end after harvest in the coming months.
Grant Cumming, managing director of Grieg Seafood Shetland, said: ‘As we have had to move supportive equipment and resources for our Skye farms back and forth from the Shetland isles, we have regrettably not been able to maintain the fish welfare and production standards that we have in the rest of the company.
‘Therefore, we have decided to end our operations in Skye and will look for alternatives for the farms and the remaining employees outside the company.
‘I regret to say that the decision is expected to cause the loss of eight jobs in Skye, and we are in dialogue with our staff about that.
‘Grieg Seafood is grateful to our Skye employees for the tremendous job they have done, especially over the last months with uncertainty due to our strategic evaluation and a challenging biology in the sea. I want to thank them for their dedication to our livestock and to Grieg Seafood.’