Galtee to close with 70 jobs lost

THE former Galtee meats plant in Mitchelstown, Co Cork, is to be closed over the coming months with the loss of 70 jobs.

Breeo Foods, the consumer foods division of Reox Holdings, announced the move yesterday following an in-depth review of its manufacturing facilities.

Reox is the company formed as a result of the spin out of the non-farm dependent business activities from Dairygold Co-op last year.

In a statement, Breeo said the risk of closure has been widely speculated on for some months, particularly since it announced in January that all operations in its value chain were under review.

“The plant has been the subject of industrial relations difficulties as the company sought to address the high cost base of the operation and recent strike notice was only averted with the assistance of the Labour Relations Commission.

“The Mitchelstown plant has been primarily engaged in the manufacture of pork products including ham, rashers and puddings as well as own label brands for major multiples. These products will now be manufactured in Ireland under license,” the company said.

A spokesman for Breeo Foods said it was a very sad day for everyone connected with the company. The closure has been forced on the business by events beyond its control.

“The consumer foods business in Ireland is operating in an increasingly competitive market with a continually rising cost base.

“The substantial continued growth of low margin own-label products has impacted on the ability of traditional high cost manufacturers to maintain a competitive edge.

“Market place forces coupled with a requirement for substantial capital injection in the current facility, which was assessed to be economically non-viable, contributed to the decision on the viability of the factory,” the spokesman added.

The Galtee factory, as it was known, was established 40 years ago to process pigs from farmers in the region into a range of meat products that became widely known brands.

Slaughtering in Mitchelstown ended in 2004 with the loss of 170 jobs after the company maintained this sector of the business had become uncompetitive.