AFFCO has announced a modest profit due to cost cutting and lower interest costs.

The meat processor and exporter company made $15.9 million in the six months to the end of March, an increase of 4% on a year ago.

Operating revenue fell 6% to $547 million, partly due to a lower livestock supply, with good growing conditions allowing farmers to hold back stock from the works over summer.

A higher New Zealand dollar also reduced export returns.

AFFCO says it expects a tough second half of the year.

Meantime, The Meatworkers Union says about 200 workers at AFFCO's sheep and lamb plant in Hawke's Bay risk having no work for up to five months, unless they work for less.

Union spokesperson Eric Mischefski  says AFFCO has told employees that, unless they increase productivity for no extra pay, the Wairoa plant will close for the season from Monday for up to five months.

General manager Rowan Ogg says the company is working through a process and it is a matter between AFFCO and its employees.