Some marts may go bust following TLT collapse

A number of livestock marts across the country are expected to go out of business as a result of the collapse of the State’s largest livestock exporter, TLT International in Co Westmeath last week.

The overall liabilities to marts and farmers are believed to be in the region of €3m-€4m, while some marts are owed between €300,000 and €400,000 for cattle purchased by TLT.

Up to 30 marts and as many as 25 farmers are owed money by TLT.

The farmers either sold directly to the exporter or used agents to supply the cattle. Some of them are out of pocket by as much as €100,000.

TLT International, which is owned by the Mullingar-based Garavelli family, went into receivership eight days ago when its UK-based bank HSBC pulled its credit lines.

HSBC appointed Gearóid Costelloe, a partner at Grant Thornton Limerick, as fixed charge and receiver manager over the assets of TLT on Friday of last week.

The company deals with about €30m in livestock exports a year and was buying cattle in Ireland for sale into markets in Italy. In all, 25 workers at the Westmeath company have been made redundant.

The exact extent of the company’s liabilities were expected to be known by this weekend, and Mr Costello is also examining the prospect of identifying a potential buyer for the business.

Yesterday, former ICMSA president, Pat O’Rourke, said that lessons needed to be learnt as large amounts of credit had been extended to just one company. He believed that some marts would go out of business.

“The interesting thing is there is a regulatory authority in place, but some of the marts may not have been in compliance with that. And that’s again where we need to make sure the regulations apply,” he said.