British Sugar targets Irish market as future of domestic industry in doubt
The intention did not come as a surprise, but some sources in the industry here felt the declaration was insensitive as no decision has been taken about the future of Ireland's sole remaining sugar processing plant in Mallow, Co Cork.
Chris Carter, corporate affairs director with British Sugar, a unit of Associated British Foods, said that by the end of 2007, four million tonnes of production will come out of Europe.
"Then you will get some areas in deficit and some areas in surplus. Mid and northern Europe will be the sugar basket of the EU-25," he said, referring to Britain, France and Germany.
The majority of existing (producing) countries will still be producers, but at a much lower level.
He said British Sugar, the leading supplier in Britain, would anticipate supplying any demand where it was needed.
Last week, the EU agreed its first significant cuts in sugar subsidies in nearly four decades, slashing support prices by 36% over four years from July 2006 in an attempt to create a level playing field in international sugar trade.
Experts generally predict that the reforms will bring Ireland's 80 year-old sugar industry to an end within two years.
Greencore Sugar warned earlier this year that its major competitors in Europe were not even waiting for EU sugar regime reform to aggressively target markets such as Ireland.
Dr Sean Brady, managing director, said at the time of the Carlow factory closure and the consolidation of processing in one site at Mallow that sugar imports into Ireland accounted for 20% of the market.
Cork East Fine Gael TD, David Stanton called yesterday for a full Dáil debate on the future for growers and workers in the Irish sugar industry.
