THE crisis in agriculture, high diesel costs and winter floods were blamed for the closure of the sawmill on the Zetland estate, near Richmond.

The operation closed, with the loss of four jobs, after a number of factors conspired to render it unviable.

Lord Ronaldshay said the mill manager had made the decision after the business continued to incur a loss.

"We had hoped it could run at a profit and, in other circumstances, perhaps it could," said Lord Ronaldshay. "But even the manager could see it was making a loss and, with that in mind, there was little else to be done."

He sympathised with those who lost their jobs but said two had already found work. He added he would recommend the workers to employers.

Lord Ronaldshay said a number of factors led to the closure. "It was perhaps what you now expect with the agricultural economy in the state it is in," he said.

"The high costs of diesel haven't helped but much of the sawmill's custom came from farms and landowners with fencing to do and, since the floods, it has simply been too wet. The business was being pinched from all directions and was just not viable any more."

Mr Len Porter, a local fencing contractor, moved into the sawmill and it is understood the building will remain in use on a much smaller scale.

Zetland estates pulled out of farming last year as the agriculture crisis deepened. It concentrated instead on property management and launched business units in the restored stables block.