Dáil Éireann díospóireacht -
Thursday, 16 May 1996

Vol. 465 No. 5

Adjournment Debate. - Leitrim Plant Closure.

Mr. T. Foxe

I thank the Chair for allowing me to speak on a topic I consider to be very important. The Minister, Deputy Kenny, is not the Minister for Agriculture, Food and Forestry, but as he comes from the west I have no doubt he appreciates that many people there are in dire straits, with the exception of Mayo people.

I wish to raise the issue of the closure of a meat processing plant in Dromod, County Leitrim. Last Friday the factory's licence to slaughter was withdrawn by the Department of Agriculture, Food and Forestry. The factory slaughtered approximately 1,000 pigs, 700 sows and some cattle per week. Most of the products were exported to Japan, Germany, France and the United Kingdom; the factory enjoyed an excellent pork trade with Japan and the United Kingdom divided roughly 50:50. A total of 85 people were employed in the factory which is the equivalent of the loss of a factory in Dublin employing approximately 9,000 workers,

The area, which covers south Leitrim, north Longford and north Roscommon, is the most depressed in the country from an unemployment and emigration point of view. Approximately six months ago there was great jubilation when it was announced that a wood pulp processing plant was to be set up giving employment to approximately 300 people. Six months later, a factory employing 85 people is to close and those workers are facing life on the dole.

I appeal to the Minister to put pressure on the Department to reinstate the factory's licence to slaughter. If that is not done those 85 workers will be left sitting at home in despair. Some of them will look for work which they may or may not find; others will set their sights on other areas of the country or on England. That is not a bright prospect for any worker.

Of the 85 people working in the factory approximately 60 are married. With two children per family, that leaves 240 people dependent solely on the income from the factory — 265 if one includes the 25 single employees — not forgetting the financial spin-off to shops, pubs, restaurants and garages in the area. That has come to an end.

The markets and the raw materials still exist and the workers who are unemployed are still in the vicinity. All that is missing is the licence to slaughter. Perhaps the Department would see fit to reinstate the licence for a period of six months while the owners sort out any legal problems they may have and also refurbish the factory as required under EU law.

The factory is about 100 years old. Many people would say that to refurbish such a plant is a waste of money, that it should be closed down, a preservation order put on it and a new plant built. Needless to say that would cost some money but so be it. The Masonite plant will cost approximately £90 million and it will employ just 300 people. This plant which employs 85 persons has an unlimited raw material supply and so far the markets appear to be unlimited.

I appeal to the Minister to put pressure on the Department to reinstate the licence to slaughter so that those 85 workers can work as they have done for the past ten to 15 years, bearing in mind that the factory has been in existence for 98 years.

Mr. E. Kenny

I am replying on behalf of the Minister for Agriculture, Food and Forestry. I thank Deputy Tom Foxe for raising the matter. I fully understand the implications of the Deputy's comments in relation to the west and I hope the announcement being made today by the Taoiseach in respect of the entire western region will bear fruit over the coming years for many of the people to whom the Deputy has referred.

This matter refers to the withdrawal of the slaughter licence from the Dromod factory in County Leitrim with the consequent loss of 85 jobs.

Western Meat Producers Limited is an approved pig slaughtering and cutting plant in Dromod, County Leitrim, and is registered under the Agricultural Produce (Fresh Meat) Act, 1930. For some time now the Department of Agriculture, Food and Forestry has been in correspondence with the management of this plant with regard to structural and maintenance deficiencies existing at the premises. Numerous inspections have been undertaken by veterinary officials from the Department and despite management being made aware of the findings of these inspections, all requests to management to rectify matters at the plant have been met by inadequate attempts at improvement or, more often than not, no action towards improvement. The company did invest money in making improvements to its premises in the period 1993 to 1995 but despite that the premises still does not come up to EU standards. It did not pass an inspection by EU veterinary officers which was carried out in August 1995 and this was in addition to having failed a similar inspection two years earlier in 1993 by EU veterinary officers.

Despite continuous correspondence over the past number of years, matters came to a head in January 1996 when the Department wrote to the management of the Dromod plant saying that the premises would be removed from the EU export approved list unless the long standing deficiencies were addressed and rectified in a reasonable timescale.

Following this the management requested a meeting with Department officials to discuss the position. At a meeting held on 16 January 1996, management of the Dromod plant agreed to take action to have remedial work commenced. A further meeting was held in Dromod on 25 January 1996 with veterinary officers of the Department and management of the Dromod plant. At this latter meeting the Dromod management were again made fully aware of the deficiencies needing attention, and on 8 February 1996 a letter was received from the Dromod plant management enclosing a schedule of work prepared by their architects outlining a timetable for completion of a programme of work, which was contained in plans which the company had submitted in the latter part of 1995 and which had been approved by the Department.

The Department replied to the Dromod management on 16 February 1996 stating that the timetable was acceptable but pointed out that it must be strictly adhered to. On 12 April 1996 a further inspection of the Dromod plant by a Department veterinary officer took place and it was found that no work have been carried out at the Dromod plant. The Department wrote to management on 26 April 1996 informing it that the licence would be withdrawn within 14 days from that date.

Following numerous written and verbal contacts with the Department, management of the Dromod plant agreed in a letter dated 10 May 1996 to voluntarily cease slaughtering at the Dromod plant from 13 May 1996, but requested time to dispose of stocks before delisting takes place. The Department has responded by agreeing not to withdraw the licence for the Dromod plant for a period of one month from 13 May 1996 on the understanding that slaughtering or cutting does not take place at the premises after 13 May 1996.

Management was advised on 10 May 1996 that consideration would be given by the Department to allowing cutting to take place on the premises if the boning hall and associated facilities were brought up to the required standards.

To date management has not responded to the Department's offer. As of now the position is that the licence for the premises will be withdrawn one month from 13 May 1996 if no action is taken in the meantime by the management of the Dromod plant to rectify the deficiencies at the plant.

The Dáil adjourned at 5.35 p.m. until 2.30 p.m. on Tuesday, 21 May 1996.