United Parcel Service is expanding into eastern Canada to capitalize on an expected rise in exports.

'The Maritimes provinces has one of the largest export growth potentials.'— Shelley Gares, UPS

The company announced late last week it will be setting up eight depots across Atlantic Canada. The expansion will create about 250 jobs in the region.

Shelley Gares, the new operations manager for Eastern Canada, said UPS will do residential pick-ups and deliveries, but it's the business growth potential that the company is really interested in.

"The Maritimes provinces has one of the largest export growth potentials this year, forecasted for 2012," said Gares.

"The timing was right. It can be self-sustained, and we decided that now was the time to strike while the iron was hot."

Gares says that export potential is coming from manufacturing and consumer goods.

The UPS plan is bad news for Purolator, which has been handling UPS's business in the region. Dennis Roch, the Atlantic manager for Purolator, said UPS work accounts for less than half of Purolator's operations in Charlottetown.

The new UPS depot on P.E.I. will employ up to 20 workers, and operate 17 delivery vans.

Roch said it's too early to say what impact the UPS expansion will have on its staff and business on P.E.I. He said Purolator will have a better idea of the impact once UPS provides the area codes it will service.