Plea to Govt over sugar plant's closure

The Government was urged to intervene tonight after sugar manufacturer Greencore announced it was to close its Carlow plant.

The company, which is to consolidate all its operations at its Mallow site, said a redundancy programme had been agreed with trade unions.

The Carlow site will be closed in mid-March with the loss of 189 full-time and 137 seasonal jobs in a move that will see Irish Sugar’s total workforce fall from 614 to 288.

The company said the decision was taken following a strategic review in anticipation of pending reform of the EU sugar regime and the increasingly competitive nature of its markets.

The Irish Farmers’ Association said it would strongly resist any move to close the sugar processing plant.

Fine Gael Agriculture Spokesman Denis Naughten condemned the decision, calling it premature.

“This announcement will have a huge impact on local beet growers and the local economy not only through the loss of employment but also the major spin-off it provided to local services,” he said.

“This decision is also premature as it will at least be autumn 2005 before any decision is taken on the EU sugar reforms. It is important to note that there is not an overproduction problem in Ireland and it is therefore imperative that the Minister for Agriculture retains the current quota available to Irish beet growers.”

Labour Carlow/Kilkenny TD Seamus Pattison said there was no justification for the closure of the Carlow factory and called on the Government to hold a meeting with the company’s management.

“The announcement that the Greencore sugar plant in Carlow is to close is a serious blow to an area that has already suffered significantly from closures and redundancies,” he said.

“I believe that there is no justification for today’s decision given that there is little clarity, as yet, about the final outcome of the review of the EU sugar regime.

“This decision may have more to do with realising the value of the Carlow site than in any changes in EU policy on sugar.

“Given the importance of the sugar factory to farming and the local economy generally, the Government should immediately seek a meeting with the Greencore Board with a view to seeking a reversal of the decision and should also redouble its efforts at EU level to ensure that any changes to the EU sugar regime do not destroy jobs in Ireland,” he added.

Green Party Enterprise spokesman Eamon Ryan said he deeply regretted the closure but believed the jobs could be saved if the plant switched to the production of ethanol which can be used as a transport fuel.

“Irish agriculture as well as the town of Carlow will be badly hit by the proposed closure of this plant,” he said.

“It is a terrible pity that the management of the company and the Government don’t see the potential to convert the plant to the production of ethanol which can be used as a transport fuel and which would help reduce our imported fuel bill.”