Sugar Beet Sector.

Dáil Éireann Debate, Wednesday - 2 February 2005

Wednesday, 2 February 2005

Questions (228, 229)

Jack Wall

Question:

288 Mr. Wall asked the Minister for Agriculture and Food if she has any control over the quota contracts as determined by Irish Sugar (details supplied) in regard to such quota contracts as agreed with the farming community in Ireland; if the company can sell or exchange such quotas with a company other than an Irish company; if the company can sell or exchange such quotas with another EU country; if the company can sell or exchange such quotas with a country other than an EU country; and if she will make a statement on the matter. [3081/05]

Written answers

Minister for Agriculture and Food (Mary Coughlan)

Under the EU sugar regime, each member state has a national quota for manufactured sugar. There is no quota for sugar beet nor is there a quota at farm level. The EU regulations stipulate that this national quota must be made available to the sugar manufacturing enterprises in the member state. Accordingly, in Ireland the entire national sugar quota is processed by Irish Sugar Ltd which is the only sugar manufacturer in this country. Irish Sugar Ltd places annual contracts with farmers to grow a specific tonnage of sugar beet sufficient to manufacture the sugar quota. I have no function in the placing of these contracts, neither in regard to the individuals who receive contracts nor the tonnage contracted in each case.

The EU regulations do not provide for the buying and selling of the quota for manufactured sugar. However, in the context of the proposed reform of the EU sugar regime, the Commission has raised the possibility of cross-border quota mobility. Several member states including Ireland are strongly opposed to this idea.

Jack Wall

Question:

289 Mr. Wall asked the Minister for Agriculture and Food the steps she intends to take in regard to overcome the problems that farmers will encounter in relation to the closure of the sugar factory in Carlow; and if she will make a statement on the matter. [3082/05]

Minister for Agriculture and Food (Mary Coughlan)

The decision to close the Irish Sugar Ltd plant in Carlow and to concentrate production in Mallow was a commercial decision taken by the company. I am confident that the company and the producers concerned will be able to work out satisfactory arrangements to deal with the new situation. I understand that work is to begin immediately on a substantial upgrading of the Mallow plant. To facilitate the one factory operation, beet from the Wexford region will be diverted to Wellingtonbridge for transport to Mallow by rail. The company plans a new rail depot to be established in the Carlow region to assist beet growers make their deliveries and I understand that a planning application will be submitted to Carlow County Council shortly in this regard.