Sugar factory closes after 80 years

AN era in the country’s industrial history ended yesterday when Carlow Sugar Factory closed after almost 80 years of production.

The closure decision was part of a major rationalisation programme by Irish Sugar that has resulted in the loss of 189 full time and 137 seasonal jobs and the consolidation of all sugar processing in Mallow, where the company’s remaining factory is being upgraded at a cost of €25 million.

Irish Sugar said the decision is designed to ensure the survival of the business for 288 remaining staff and 3,700 beet growers in the face of impending EU reforms.

But a leading academic, Professor Alan Matthews, Trinity College, said the company had taken a brave decision.

“It is really banking that the tremendous changes which face the European sugar industry and the reform of the sugar regime can be moderated to such an extent that Ireland can continue to produce sufficient beet for the one factory going forward in the future.

“There must be a question mark whether, in fact, the company has met correctly on that,” he said, agreeing that there is a question mark over the future of the Mallow factory.

The upgrade of the Mallow plant is progressing ahead of schedule and the company is in ongoing negotiations with grower representatives to finalise the arrangements for the delivery of all beet to Mallow.

Meanwhile, it was announced yesterday that the closure of the Nestle chocolate crumb factory in Mallow, which was planned for this month, subject to discussion, will take place in July 2006.