09/03/2010

Farmers Launch Protest At Greencore Meeting

Some 100 members of the Irish Farmers' Association (IFA) are picketing a meeting of Greencore in Dublin that is making a decision on the sale of its malting barley division.

The IFA has launched the action claiming 50% of the country's 1,000 malting barley growers have had their contracts terminated by Greencore before the sell-off.

The division is set to be sold to French co-op Axereal Union De Cooperatives Agricoles in a deal worth up to €116.25m.

IFA President John Bryan said Greencore could not axe contracts for 500 growers without redress before they sell off the business.

"The company has a corporate and moral obligation to these growers to resolve this issue. Loyal barley growers who have been the bedrock of a very profitable malting operation have a legitimate expectation to be treated fairly in the restructuring of the business in advance of it transferring to the new owners Axereal,” the IFA President said.

Mr Bryan called on the management and shareholders of Greencore to deal equitably and fairly with affected farm families, and to ensure that their concerns are addressed immediately.

“The situation has been handled very poorly by Greencore, and has become a very divisive issue among growers on the ground. Greencore must address the problem now, if the new owners are to be welcomed here and enjoy the goodwill and support of Irish farmers,” he added.

Also speaking this morning, IFA Grain Committee Chairman Noel Delany said the company’s failure to communicate with or return calls directly to growers who are losing contracts was "an unacceptable way to deal with dedicated suppliers".

"Once again we have a decision foisted on growers at the point of sowing when many farmers already had made commitments, financial and otherwise, to banks, leasing companies etc. on the strength of these contracts. Those farmers are now left high and dry, a situation, which is completely deplorable,” Mr Delany said.

(DW/GK)


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