asked the Minister for Finance the date on which he originally gave his approval to the proposal by Erin Foods Limited to close the potato processing plant in Tuam, County Galway.
Ceisteanna—Questions. Oral Answers. - Tuam Potato Plant.
9.
Following detailed evaluation of the economics of the enterprise, the board of Comhlucht Siúicre Éireann Teo decided in January last to close down the potato processing plant at Tuam and to replace it with an engineering facility. Before announcing their decision the company informed me of their intentions and I indicated on 9 February that I had no objection to their proceeding with their plans.
Did the Minister at that time consult with the Department of and the Minister for Agriculture?
I cannot say offhand. I think the answer is no but I cannot tell the Deputy definitely. The question of a decision of this kind is, of course, one within the competence of Comhlucht Siúicre Éireann. They did not require consent from me although in fact they acquainted me with the position.
I understand they do not need the Minister's permission. The Minister says he cannot now recall but, assuming that he did not consult with the Minister for Agriculture, would he not think it would have been appropriate to have done so, if he did not do so, seeing it was definitely within the agricultural area?
The Deputy will appreciate that the reason for the company's decision was related to the economics of the operation and the losses over the previous seven years. The factors that produced those losses were fully set out in their communication to me. The Minister for Agriculture could not, if consulted, after the facts of the situation. No doubt the Deputy is aware that one of the large considerations involved was the failure on a number of occasions of growers to honour their contracts— not the only factor by any means, but a substantial one.
If I may ask a final supplementary—the Minister was notified and gave his approval to the closure or at least did not raise any objection: would he not think that the Department of Agriculture would, or should have some interest in that area and should have been acquainted with the situation?
That is a separate question leading to a debate on the matter. I am calling the next question.
If I may reply to the Deputy, I think the Department of Agriculture were not unaware of the situation even if they were not consulted by me.
If, as he says, the Minister is not quite sure whether he consulted with the Department of or the Minister for Agriculture, could he say whether he informed the Minister for Agriculture or the Government?
A public statement was issued on 10 February which indicated that on 9 February I had indicated to the company that I had no objection to their proceeding with their plan, which included the setting up of a new engineering facility in the premises.
Before the Minister conveyed that publicly or conveyed it to the company, did he inform either the Minister for Agriculture or the Government of the pending closure of this plant?
The answer is no as far as the Government are concerned and, as I have indicated, I think it is no in regard to the Minister for Agriculture. I again remind Deputies that this decision was one which the company was competent to make and they informed me largely as a matter of courtesy, not to seek my consent.
10.
asked the Minister for Finance the number of farmers that have grown potatoes for the potato processing plant at Tuam, County Galway, each year since it was established; and the number of farmers that did not honour contracts each year, partially or entirely.
As the information available is in tabular form I propose, with the permission of the Ceann Comhairle, to have it circulated with the Official Report.
Following is the information:
|
Contract Year |
Number of contract growers |
Number who did not honour contracts |
|
1961-62 |
275 |
15 |
|
1962-63 |
1,086 |
36 |
|
1963-64 |
1,543 |
143 |
|
1964-65 |
485 |
35 |
|
1965-66 |
338 |
13 |
|
1966-67 |
239 |
29 |
|
1967-68 |
510 |
25 |
|
1968-69 |
590 |
10 |
|
1969-70 |
650 |
25 |
|
1970-71 |
705 |
15 |
|
1971-72 |
770 |
20 |
|
1972-73 |
665 |
220 |
|
1973-74 |
300 |
Nil |
|
1974-75 |
510 |
50 |
|
1975-76 |
477 |
187 |
|
1976-77 |
217 |
17 |
|
1977-78 |
185 |
Nil |