Dáil debates

Tuesday, 19 October 2004

8:00 pm

Michael J Collins (Limerick West, Independent)

I, too, congratulate the Minister of State on his appointment. A serious problem has arisen as regards poultry growers and processors in Castlemahon, County Limerick. The Department or the Minister personally must intervene because the company in question, Castlemahon Foods, is at a standstill. The growers who supply the company receive 28 cent per bird, whereas growers in other areas receive 38 cent. The growers' business is not viable and they are unable to pay their mortgages, insurance and so forth.

I understand matters were proceeding reasonably well until the growers formed a co-operative as a non-trading company. Since then they have not been able to negotiate because the company, as a private entity, will not agree to do so, which is where the problem lies. However, we only know one side of the story; we do not know the company's side. If something does not happen in the near future, there will be a major problem for the 400 employees at the factory. At present, there are 28 or 29 growers and they have approximately 1 million birds between them. If the other half pull out, there will be a serious problem in the factory.

I urge the Minister to do his best to intervene. Perhaps he could appoint somebody as an acting chairman to bring both sides together. If this escalates, there will be serious consequences.

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