17/08/06
The Tenant Farmers Association has written to British Sugar expressing
its bitter disappointment over the new arrangements it is putting
in place with growers following its decision to close two of its
six processing plants – York and Allscott.
TFA National Chairman Reg Haydon said “I have yet to speak
to a TFA member who believes that British Sugar’s announcement
comes anywhere close to being considered a fair deal. Whilst British
Sugar may remain committed to sugar processing, it has shown scant
regard for sugar York and Allscott growers who feel that they have
been left ‘high and dry’” by the new arrangements
announced”.
British Sugar is hoping that growers previously supplying its factories
at York and Allscott will divert their production to its plants
at Newark, Bury and Wissington. A transport allowance of up to £4.00
a tonne will be payable by British Sugar however the beet price
itself is also due to fall.
“Even with the transport allowances being offered, for most
growers previously supplying Allscott and York, it will not make
economic sense to transport beet into Newark, let alone Bury or
Wissington, when beet prices are £20/tonne or below” said
Mr Haydon.
Some growers will be allowed to give up their contacts with British
Sugar entirely; however they will only receive compensation amounting
to a maximum of £8 per contracted tonne
“The payments announced for those relinquishing contract
are an affront when you consider in the British Sugar out-goers
scheme of a just few years ago sums of at least 5 times what is
now being offered were offered to growers” said Mr Haydon.
“We understand the competitive strains faced by British Sugar
within the international market but the fairer way to address those
concerns is to make better use of the EU Restructuring Scheme,
relinquish more of our National Quota and ensure that producers,
hauliers and British Sugar are properly compensated through the €700/tonne
that the scheme makes available, to be split between all affected
parties” said Mr Haydon.
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