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Dáil Éireann debate -
Wednesday, 4 May 1955

Vol. 150 No. 5

Ceisteanna—Questions. Oral Answers. - Castor Sugar Manufacture.

andMr. J. Lynch asked the Minister for Industry and Commerce if he is aware that Comhlucht Siuicre Eireann, Teoranta, propose to manufacture castor sugar; whether he has received representations from private firms objecting to the proposal, and, if so, if he will make a statement in the matter.

I am aware that Comhlucht Siúicre Éireann, Teoranta, propose to manufacture castor sugar and I have received representations in the matter on behalf of two firms. The Sugar Company were engaged in the production of castor sugar before the war but discontinued production because of supply difficulties during the emergency period. Some years ago the company intimated to the Minister for Industry and Commerce that they proposed to resume the production of castor sugar and, after careful consideration, the Minister agreed to the resumption by the company of this activity.

The company have completed their arrangements for the manufacture and distribution of castor sugar and I see no reason to intervene.

Is the Minister aware that the most important feature of this case is that the Sugar Company are the only authorised concern who can import sugar and that Messrs. G. and J.F. Burke, Limited, of Limerick and Messrs. Daly, Limited, of Cork have to purchase their raw materials from the Sugar Company? Is the Minister further aware that during the war years, from 1939 to 1945, Messrs. Burke of Limerick were the only firm in the Twenty-Six Counties supplying castor sugar and is he also aware that a number of expensive additions were made to the plants of those two firms and that they will be very badly hit if the proposals of the Sugar Company are allowed to go through? Is the Minister further aware that the Irish Sugar Company have preferential treatment from C.I.E. as regards freight charges?

I am not aware of the allegations made by the Deputy in the last portion of his comprehensive supplementary. The Irish Sugar Company are the only firm to import sugar under authority given to them by this House, of which the Deputy is now a member. The price charged by Comhlucht Siúicre Éireann to their customers is based on a level which affords a considerable chance for private firms of competing with the Sugar Company for the custom available.

In reply to the remaining part of the supplementary, I may remind the Deputy that a representative of Burke's, who was interviewed in the Department towards the end of 1951, informed the Department that they could not object to the Irish Sugar Company manufacturing castor sugar, as the Sugar Company was in the business before the war. He said, further, that they were able to compete with the Irish Sugar Company before the war in the Limerick area and that they could compete with them again in the Limerick area and outside it.

When the Minister mentioned the price of raw cane sugar, was he aware that the price the Sugar Company pays is 40 a ton and that the price Messrs. Burke and Daly have to pay is 59/6 a cwt., plus delivery charges, and would the Minister not agree that there is no parity in those charges and that, therefore, the Sugar Company are, in fact, getting preferential treatment?

They are not getting preferential treatment. What the Deputy and the House should understand is that the Sugar Company was set up by this House and is the Deputy now attempting to prevent them from making a commodity like castor sugar, which is a by-product of the other type of sugar? Is the Deputy suggesting that the company should throw away the castor sugar or go to the trouble of re-processing the sugar at the expense of the consumer?

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