The jobs boost will come with the opening of Food Packaging Ltd, on the Rossendale Road Industrial Estate, next month.

The firm, which has moved to Burnley from Cambridge, is being helped by a £50,000 Michelin Development loan package to help create the new jobs, mainly production jobs, for Burnley.

Food Packaging Ltd – which converts board into rigid food packaging solutions and has a turnover of £9.5m. – has used the investment from Michelin Development, a subsidiary of Michelin Tyre Plc, to move to its new all-purpose base in Burnley.

In 2005, Food Packaging took over Burnley-based Cakeboards Ltd, which has also been moved into the modern site in Rossendale Road.

Mr Stephen Ellis, chairman of Food Packaging, said: "We hope to have everything in place for the new Burnley site by mid October and are looking to recruit around 50 new staff to work mainly on the production side of the business.

"We are very pleased with the support from Michelin Development. It was a great help in enabling us to integrate the two businesses."

Mike Cole, director of Michelin Development, said: "In helping Food Packaging to relocate to Burnley, we are able to fulfil our core objective of supporting the creation of quality, long term, sustainable jobs for the region."

Michelin Development is also looking to loan a further £1m., help another 30 companies and create as many as 250 jobs. Interested parties should log on to www.michelindevelopment.co.uk to see how to qualify.