asked the Minister for Finance if any Government decision has as yet been reached concerning various proposals relating to the future food processing operations of the Irish Sugar Company.
Ceisteanna—Questions. Oral Answers. - Food Processing Operations.
38.
I would draw the Deputy's attention to a statement issued on Wednesday last by Cómhlucht Siúicre Éireann Teoranta regarding plans for the group. I have approved a proposal of the boards of CSET and Erin Foods that the food processing operations should be integrated with sugar activities under one board. This reorganisation will, it is expected, lead to important cost savings and so improve the competitiveness of the group. As regards the food project a temporary and substantial cut back in acreages of vegetables and potatoes is unavoidable because of failure to reach export sales targets and consequent high accumulation of stocks. Despite the reduction in acreages there will be no redundancy within the group. The long-term objective is to eliminate completely the losses now being incurred on food processing.