‘No future’ in sugar beet, IFA hears
The view arose following this week’s Council of Ministers meeting in Brussels on sugar reform ended beet production in Ireland.
Chairman Jim O’Regan said there was no future in sugar beet after the 36% price cut. The decision has handed over the European sugar market to Brazil and other sugar cane planters, he said.
IFA president John Dillon said: “The representatives were devastated by the manner in which their future had been destroyed in a few hours of bargaining in Brussels.”
It was also agreed that proper compensation is now the only item on the agenda for Agriculture and Food Minister Mary Coughlan and the Government.
Mr Dillon said it would be untenable and indefensible for Ms Coughlan to preside over €130m being paid to Greencore. She must use her powers to have this money paid to farmers.
But Ms Coughlan, speaking at the official opening of Macra na Feirme’s annual conference in Sligo last night, said the outcome agreed in Brussels provides time and a range of options for the sector to adapt to the reformed regime.
The package was a major improvement on the commission’s original proposals which could have precipitated the abrupt demise of the sugar sector in Ireland.
Ms Coughlan said the price agreed represents a reduction of 36% in the support price of sugar compared with the initial proposal of a 39% reduction.
The corresponding reduction in the minimum price of sugar beet will now be phased in over four years, not the two-step reduction originally proposed.
The financial package available to Ireland, totalling about €310m, will facilitate the adaptation of the sector in the coming years.
Ms Coughlan said that given the severity of the original proposals, the final package provides critical options for the industry in terms of managing change.
“I secured clear recognition and acceptance of the unique Irish circumstances. This was reflected in the very significant funding package which will accompany the implementation of the reforms in Ireland,” she said.
EU Farm Commissioner Mariann Fischer Boel described the decision to reform Europe’s sugar regime as historic. She said talks involving the 25 EU Farm ministers had been tough, but common sense won.
“This deal will give the EU sugar sector a viable and competitive future. It offers long-term certainty to the sector. We have succeeded in striking a fine balance between the different needs and demands.
“By acting now, we have the funds available to ease the painful restructuring process that is absolutely vital, and to compensate farmers,” she said.
