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Dáil Éireann debate -
Thursday, 15 Jun 1972

Vol. 261 No. 10

Ceisteanna—Questions. Oral Answers. - Limerick Milk Plant.

75.

asked the Minister for Agriculture and Fisheries the reason for the siting of the milk diversification plant at Cratloe, County Clare; and the location of the other sites that were considered in this connection and the reason in each case why it was not found acceptable.

76.

Mr. O'Donnell

asked the Minister for Agriculture and Fisheries what plans the Dairy Disposal Board have for a new milk processing plant at Cratloe, near Limerick; and whether the new plant will be a replacement of or an addition to the plant at Lansdowne.

With your permission, a Cheann Comhairle, I propose to take Questions Nos. 75 and 76 together.

The Cratloe site for the new milk processing plant, which the Dairy Disposal Company proposes to establish, was selected because of its location in relation to milk supplies from both the Limerick and the Clare areas. I understand that the company considered that any other location would not offer the same advantage. The new plant will be in addition to the company's existing plant at Lansdowne, which is already handling milk from both of the areas mentioned, and the company aims to have it operational as early as possible in 1973.

Can I take it that no sites were examined other than the Cratloe site?

All possible reasonable sites were considered on their face value. It is my opinion that the best thing to do in this case is to consider the future of both the Lansdowne plant and the supply of milk from the Clare area and certain areas of Limerick together because, if you did not do that, the chances are that you might compromise the Lansdowne creamery operation and jeopardise the jobs of the workers involved there, as well as possibly diminishing the scale of the operation that might be necessary in the future. I think the Limerick-Clare grouping as now envisaged is the best way to cope with the Limerick-Clare situation that the Deputy and I are talking about. It would be very wasteful, indeed, to adopt measures that might conceivably run down the Lansdowne plant and make less than full use of the plant that is available.

Clare suppliers were not aware until now that it was intended to have a site which would serve Lansdowne and suppliers in the Limerick area as well as Clare suppliers. Perhaps the Minister is not aware that Clare suppliers on the west coast who supply about 20 million gallons annually considered a more central site would be better for producers on the west coast?

I appreciate such thinking but I think the Deputy will accept it as a localised approach to the general question of creamery development. Since it is localised and concentrated exclusively on the interests of Clare alone, in that way it is not an objective view. In order to get an objective view it is necessary to consider the milk supplies that are available on the other side of the Shannon.

Can the Minister state if the costings in connection with milk collections were compiled prior to the selection of this site?

I do not know.

Would the Minister not consider it would be an economically sound policy to have costings? Bulk collections or multi-tank collections could come from areas 50 or 60 miles west of the proposed site and this could be a factor in reducing the price of milk.

I could not accept that. However, I will accept from the Deputy that obviously the general logistical business in this matter will be a factor in the determination of the best place to build the second plant. I think the best thing to do is to build the new plant in fairly close proximity to the existing plant at Lansdowne.

Does the Minister anticipate any redundancies in the central or auxiliary creameries in Clare as a result of the site of the plant?

I think this is a question that can be overestimated in the context of a rapidly expanding dairy industry. Experience to date has been that redundancy arising out of rationalisation has been minimal.

While we all agree that the best site has been selected for the combined operation in Cratloe, would the Minister assure us that there will not be any redundancies at the Lansdowne factory in Limerick? Further, would the Minister state if this project in Cratloe, combined with the Limerick project, will be run on a co-operative basis rather than on a dairy disposal board basis?

There are a number of questions involved here. With regard to redundancies, in any scheme of rationalisation of creameries — I have said this in the House before— the question of men losing their jobs must be a serious consideration at all times. With regard to the co-operativisation of the project, the situation is well known — the Dairy Disposal Company are prepared at all times to dispose of enterprises such as this to a co-operative enterprise at a fair price.

Has the Minister any plans for the co-operativisation of the Lansdowne factory?

That is a separate question.

The Minister has said that the Dairy Disposal Company are prepared to negotiate on this matter. I should like to know if any steps have been taken.

It is out of order to go ahead with the question.

Can the Chair say why this is so? I only wish to have the matter straightened out and I am sure the Minister is anxious to help.

The Chair must have due regard for order. It is out of order even for the Minister to answer a question that is not in order.

The most vital point at this time is to see as quickly as possible — even days are important now — that a diversification plant be established for next season's milk. The initiative for the co-operativisation of this project must come from the co-operative movement. We are prepared to talk to them at all times about this matter.

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