Path is clear for sugar industry revival, says Coveney
He outlined his view in written pre-Christmas replies to Dáil questions separately tabled by Deputies Bernard J Durkan (FG), Kildare North, and Michael Fitzmaurice (Ind), Roscommon-Leitrim South.
Mr Durkan sought a statement on the progress being made in respect of the restoration of sugar production from beet, while Mr Fitzmaurice asked the minister what actions he had already taken to facilitate the return of the industry to Ireland in 2015.
Mr Coveney said he had met with two separate groups which had conducted feasibility studies into the possibility of establishing a new sugar/bioethanol facility in the country.
The figures, published by the interested groups who are investigating the possibility of building a new facility, indicated that the overall capital costs involved could range from €250m to €400m, depending on what type of facility would be constructed.
“I informed both groups at the time and many times since in the Dáil and through the media, that any venture to develop a combined sugar/bioethanol production facility in Ireland would have to be a viable commercial proposition, and supported by a business case which is sufficiently robust to attract the funding from investors for the very substantial capital investment required. I clearly informed both groups at the time that it was my job to look for agreement at EU level to allow for the growing of sugar beet for the manufacture of sugar, at the earliest possible date,” he said.
Mr Coveney said he secured agreement as part of the overall CAP reform package to abolish all sugar quotas by September 30, 2017.
This deal removes, with effect from October 1, 2017, the current EU quota barrier for operators wishing to re-establish a sugar industry.
“At the time, this agreement was welcomed by those interested in seeking to re-establish a sugar industry.
“It is now up to those same entities to move the project forward and garner sufficient commercial support to turn their plans into a viable reality,” he said.
