Denis Naughten (Longford-Roscommon, Fine Gael)
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Question 556: To ask the Minister for Transport the plans he has to implement a rail freight subsidy, similar to that in place in other EU countries; and if he will make a statement on the matter. [10442/05]

Denis Naughten (Longford-Roscommon, Fine Gael)
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Question 557: To ask the Minister for Transport the plans he has to provide a rail freight subsidy for the transport of beet by rail to the Mallow sugar factory; and if he will make a statement on the matter. [10443/05]

Martin Cullen (Waterford, Fianna Fail)
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I propose to take Questions Nos. 556 and 557 together.

It is my policy that Iarnród Éireann should remain in the rail freight business and I am aware that the company has made great strides in restructuring this element of its operations.

As part of an overall plan to address its difficult financial position, Iarnród Éireann is undertaking a restructuring of its rail freight business including measures to improve efficiencies. Its strategy is to develop the profitable traffic it already has, such as bulk freight and trainload traffic and reshape the container business. In these circumstances, there are no plans to introduce a scheme of rail freight subsidies.

Iarnród Éireann has informed me that the company has reached agreement with Greencore in respect of the movement of sugar beet by rail from Milford and Wellington Bridge to the Mallow factory. Such matters are a commercial matter for the company within its day-to-day responsibilities. I have, therefore, no further details on the matter.