Coughlan blames EU over Mallow

Tánaiste Mary Coughlan insisted today that the European Commission was responsible for the closure of the Mallow sugar factory…

Tánaiste Mary Coughlan insisted today that the European Commission was responsible for the closure of the Mallow sugar factory in 2006.

EU auditors have found that the closure of the factory was needless because the business was profitable at the time.

Ms Coughlan, who was minister for agriculture when the decision was made, told the Dáil that there was a restructuring of the sugar regime at the time arising from WTO negotiations.

“I opposed, as minister for agriculture at that time, the commission’s proposals, which you all know yourselves, and led the group of 14 in their opposition to that reform,’’ she added.

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Labour leader Eamon Gilmore said the Court of Auditors had blamed the commission for working off old figures and that it did not take into account Greencore’s consolidation as a result of the closing of the Carlow plant.

“Who was responsible for the commission working off old figures?’’ he added. He asked if it was the responsibility of the minister at the time to brief the commission.

Ceann Comhairle Seamus Kirk adjourned the House for 10 minutes, amid uproar, as Opposition TDs demanded that Ms Coughlan, rather than Minister for Agriculture Brendan Smith, take a debate on the matter later this afternoon.

Labour agriculture spokesman Sean Sherlock demanded the Tánaiste give “an account of her actions on that night and why a Fianna Fáil government consigned an industry to its death’’.

He was supported by Fine Gael and Sinn Féin TDs. Fine Gael’s Tom Hayes said Ms Coughlan should apologise to the people of Ireland.

Sinn Féin’s Aengus Ó Snodaigh said that other scheduled business should be postponed so that a debate, with Ms Coughlan answering questions, be held.

During the debate later, the Minister for Agriculture said Ms Coughlan had strongly opposed the commission’s proposals and sought to have them modified in such a way that an efficient sugar industry might be retained in Ireland.

"She, in fact, led a group of 14 member-states opposing the proposals," Mr Smith added.

"In the end, there was insufficient political support for the Irish position, and our efforts, towards the close of the negotiations, had to be redirected at achieving the best possible compensation package."