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Kepak Group has confirmed that it has indefinitely postponed a planned and publicly announced major €6.5m investment at its Clare site in Drumquin as a direct result of the ongoing "illegal blockades".
Kepak Clare has, to date, been the most severely affected of Kepak’s sites by the “illegal blockades”, with all processing suspended there effectively since 2 August, a spokesperson for Kepak said on Tuesday evening.
The processor has laid off 1,400 people including all staff at Kepak Clare as a result of the action.
Support
“Kepak is immensely grateful for the support of its loyal staff, customers and farmer suppliers who have been harshly impacted by the illegal and intimidating behaviour of protesters, many of whom are not known as suppliers to Kepak Clare," the spokesperson said.
"It is now evident that self-appointed protesters are creating chaos in the Irish beef industry, with little regard for its long-term future.
Beef prices are on a par with the main EU markets
“Irish beef prices are on a par with the main EU markets into which we export some 90% of Irish beef.
"It is Kepak’s conviction that the solution to these weak market prices is an EU-wide challenge and will not be resolved by illegal blockades of Irish meat processors.
“The short-term hardship and financial stress imposed on staff and farmers, exacerbated by an overhang of factory ready stock, arising from the illegal blockades, is extreme and indiscriminate.
“Longer term, more hardship is envisaged as some hard-won EU customers have already switched to sourcing their supply of beef from other countries.
"Loyal customers are now beginning to question the reliability of the Irish beef sector as a dependable supplier,” the spokesperson continued.
Cohort
On two occasions, negotiations and agreements “have been spurned in favour of intimidation and lawlessness by a cohort with little regard for the havoc being caused,” the processor said.
“It is critical that blockades are lifted to allow farmers and the industry to resume normal activity before it suffers irreparable damage and losses.”
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