Tánaiste under fire in Dáil over sugar deal

UPROAR over the way Irish sugar workers lost their jobs dominated the Dáil yesterday in the aftermath of an EU ruling that the closure of Mallow’s processing plant could have been avoided.

The Dáil session had to be suspended as opposition TDs demanded Tánaiste Mary Coughlan explain her role in the affair while Agriculture Minister in 2006.

Ms Coughlan refused to take the emergency debate on the European Court of Auditors judgment, and left it to her successor at the agriculture portfolio, Brendan Smith to claim out-of-date information had not triggered the shut down of the Irish sugar industry.

The EU court ruled the closure of the Mallow factory was needless as the operation was profitable at the time, and that out-of-date information was used when decisions were made to kill the industry here.

Labour’s Seán Sherlock insisted the agriculture committee must launch a full probe into the affair as he accused Ms Coughlan of incompetence in switching from a blocking coalition of countries, opposed to the Brussels move against the sugar industry, to “giving up”, seeking compensation and closure instead. He said vested interests had influenced her to “take the money and run”.

Mr Sherlock told the Dáil hundreds of Mallow sugar workers who lost their jobs had to wait 12 or more months to receive their redundancy payments, despite Greencore receiving major EU compensation funds.

Sinn Féin’s Martin Ferris said proposals to keep the Mallow plant open had been rejected so owners Greencore could “engage in property speculation.”

Fine Gael spokesman Andrew Doyle told the emergency debate: “The Irish Government and the European Commission owe it to the country to see if they can restore this industry.”

Mr Doyle questioned whether the Government carried out due diligence as the guardians of the public interest on the information submitted to the European Commission by Greencore.

Fellow Fine Gael politician Paul Kehoe suggested Ms Coughlan was “asleep” when the decision was taken in Brussels to shut the enterprise down.

Ms Coughlan insisted it was the European Commission who was responsible for the closure at Mallow.

Agriculture Minister Mr Smith disputed the claims incorrect information had been given to the EU.

“In the end, there was insufficient political support for the Irish position and our efforts, towards the close of the negotiations, had to be redirected at achieving the best possible compensation package.

“There have been some suggestions that out-of-date information may have impacted on the negotiations. Nothing could be further from the truth,” he told the Dáil.