Sugar factory closure - Workers face uncertain future

After more than 150 years, the sugar beet industry in this country disappeared yesterday with the closure of the Greencore factory in Mallow, leaving in its wake a devastating impact on the local economy.

It resulted in the loss of 320 full-time and part-time jobs, although the economic effects will be felt directly, and indirectly, by about 5,000 people, and a loss of €100 million at a national level.

Only 10% of the workers have found alternative employment, and a severance package has still to be finalised for those who have lost their jobs.

While the factory workers face a future of economic uncertainty, a decision remains to be made on the €145m compensatory package.

This EU money is attracted by the closure of the plant, as part of a reform agreement, and already the company and the Irish Farmers Association (IFA) have laid claim to the lion’s share.

Where it eventually goes will be decided by Agriculture Minister Mary Coughlan who has been informed by Greencore that it does not intend to produce bioethanol at Mallow. It is raw alcohol which can be mixed proportionately with normal fuels and sugar beet has proven highly successful in making it.

While this possibility had sparked much rumour, and hope, it transpires that it is a commercial option the company has rejected.