Farmers, politicians, union leaders and local business representatives expressed shock and anger yesterday at the decision to close the Carlow sugar factory with the loss of more than 300 jobs.
The decision by Irish Sugar will end almost 80 years of beet-processing at the State's oldest sugar plant when operations cease on March 11th.
The Greencore-owned company said the decision was necessary in the light of impending EU reforms which could threaten the viability of sugar production in Ireland.
SIPTU and the Irish Farmers' Association, however, claimed the decision was premature and the union vowed to fight the closure.
It will hold a meeting of shop stewards in Dublin today to plan opposition to the closure, but industrial action is unlikely to be contemplated until other avenues have been explored.
Opposition politicians also claimed there was no justification for the move and called on the Minister for Agriculture, Ms Coughlan, to intervene.
A total of 189 full-time and 137 seasonal jobs, which provide about three months' work at the end of each year during the beet-processing "campaign", will be lost as a result of the closure.
In addition, 35 full-time and 16 part-time jobs will be shed at the company's only remaining sugar factory in Mallow, Co Cork, through a voluntary redundancy programme.
Irish Sugar's chief executive, Dr Seán Brady, said the closure was the only way to ensure that sugar production could be protected in the State.
"We could not keep two plants running and it will cost €28 million less to upgrade the Mallow plant to the necessary standard than the Carlow one," he said.
Mr Jim O'Regan, chairman of the IFA's beet committee, said the closure should not have taken place while negotiations on the future of the EU sugar regime were continuing.
"It weakens the hand of the Government in these negotiations and it should not have happened," he said. The IFA has called an "emergency meeting" of sugar beet growers in Carlow next Monday.
SIPTU regional secretary Mr Mike Jennings said the company had taken a "disastrous decision in indecent haste", which the union found unacceptable.
"There is no evidence that this closure is required and the decision is unacceptable to us," he said.
Dr Brady rejected the claims that the decision should have been withheld until after the EU reforms had been agreed.
"We could not wait any longer. There is a real urgency to get on and save the industry and by consolidating sugar processing into one facility we were giving the business and sugar production in Ireland a credible chance of survival," he said.
In a statement, the company said the decision to close the Carlow rather than the Mallow plant had been taken on foot of a benchmarking exercise carried out by an international consultancy firm, IPRO.
Ms Jacqui McNabb, chief executive of Co Carlow Chamber of Commerce, said the decision was a "devastating blow" to the area.
Fine Gael's enterprise, trade and employment spokesman, Mr Phil Hogan, a TD for Carlow-Kilkenny, said the decision was a "terrible blow" to workers and local farmers
He called on Ms Coughlan to seek immediate talks with the Greencore board.