E-Malt.com News article: 4195

Ireland, Dublin: About 400 sugar beet and malting barley growers protested outside the Greencore annual general meeting in Dublin on Thursday February 10 against the company’s decision to close Carlow sugar factory and Banagher Maltings in Co Offaly, according to Examiner.

The placard-carrying farmers, supported by SIPTU members and officials, travelled from various parts of the country to protest outside the Berkeley Court Hotel in Ballsbridge, where the Greencore shareholders met. The growers later moved their protest to Leinster House, where they lobbied politicians.

John Dillon, president of the Irish Farmers Association, which organised the demonstration, said beet growers have rejected Greencore’s decision to close the Carlow factory, describing it as premature before the outcome of EU sugar reform talks is known at the end of this year.

They have demanded that the decision be deferred for one year to allow an orderly negotiated plan be rolled out to get the beet to the Mallow factory at no additional cost to growers.

Mr Dillon also demanded that Greencore immediately restore malting barley contracts to growers who supplied the Minch Malt plant in Banagher. The move by the company to strip Guinness contracts away from traditional growers is in direct contravention of the agreement reached between the IFA and Guinness. “Greencore has brought about a confrontation with two large farming sectors supplying its major agri-business operations, sugar and malt. It seems determined to exploit its monopoly in sugar processing and its dominant position in the malt industry at the expense of farmers.”

IFA’s Sugar Beet Section chairman Jim O’Regan said there is no justification for Greencore’s decision to shut a profitable sugar processing plant, and then try and impose costs on beet growers.

He said the company had totally misled growers, as it has no specific arrangements in place to move beet this year. IFA’s demand to defer the closure decision is further justified, he added, as it has now emerged that the proposed site for a rail depot in Bagenalstown, Co Carlow, is not materialising.

IFA Grain Committee chairman Paddy Harrington said the decision relating to Banagher Maltings comes at a time when Guinness is increasing its requirement for Irish malt, having moved their production facilities from Park Royal in London to St James’s Gate, Dublin.

“All of these recent decisions have been taken without consultation with the growers and landed on them at the beginning of the season leaving farmers with little time to make alternative arrangements and secure markets for their produce,” he said.

Meanwhile, Taoiseach Bertie Ahern has said that he will not defend the actions of Greencore in not consulting with trade unions before announcing the closure of Carlow sugar factory. He was replying in the Dáil to the Labour Party leader, Pat Rabbitte, who said the Carlow factory was closed without any consultation, even that required by EU directive, with the trade unions or the representatives of the workers concerned.

Mr Rabbitte said it beggars belief that Greencore met with Minister for Agriculture and Food Mary Coughlan just before it was to announce the closure of the plant and did not tell her about it.

The Taoiseach said the consultation process is clear. When companies are making strategic decisions, which they have the right to make, they should follow the directive and normal good industrial relations practice.



12 February, 2005