Cappoquin Chickens Blow Shows Feed Costs and Labelling Loopholes Hurting - Creed

Following reports that Cappoquin Chicken has gone into liquidation, Fine Gael Agriculture Spokesman, Michael Creed TD, today (Monday) said spiralling costs, particularly feed costs, and inadequate food labelling laws were significant contributory factors. Deputy Creed said the poultry industry is hurting and agri-sector jobs are under threat.

"Reports of the appointment of a liquidator to Cappoquin Chickens are the culmination of fears that have been mounting for some time. Up to 250 people employed either full time or as seasonal workers will be devastated by the news, as will the 50 producers dependent on the company's survival.

"The Fianna Fáil Government has failed to heed warnings on the impact of rising feed costs on the poultry sector and it is now clear just how hard these costs are hitting agri-business. The latest Central Statistics Office figures showed feed costs up 21.1% on last year. This is an own goal from the Government whose daft policy on the importation of GM feed is estimated to be costing the industry up to €160 million a year.

"The Cappoquin Chickens blow follows the closures of Grove Turkeys and Castlemahon Chickens. It's painfully clear that the Government must act to save the industry.
"We are also seeing the impact of quality Irish product being undermined by loopholes in our labelling laws. The 'substantial transformation' loophole allows produce which has had minimal processing in Ireland, like the addition of breadcrumbs, to be passed off as Irish. Coupled with misleading labelling this means Irish produce and cheap imports are not competing on a level playing field.

"Fine Gael's campaign on labelling laws has fallen on deaf ears in Government so far but the prospective liquidation of Cappoquin Chickens has to be a wake-up call. As well as the closure of the 'substantial transformation' loophole and the tightening and strict enforcement of existing labelling laws, Fine Gael wants to see the introduction of a Green Ireland label. This single, recognisable brand would help Ireland capitalise in overseas and domestic markets on its reputation as a green, healthy, quality food producer and help secure a premium price for Irish produce and Irish farmers."

200 jobs at risk at Cappoquin Chickens as feed costs and labelling loopholes hit hard - Creed

The following is the text of a statement issued by FG on the financial situation of Cappoquin Chickens. It is full of common sense and has realistic proposals to address the problems faced by Ireland's poultry industry. Is any one in Government circles listening? Will the Government stand by and allow the destruction of the poultry industry which can have a bright future if buttressed by realistic Government policies.This Government has adopted stone age Green Party policy on the importation of GM feed. It has also failed to address labelling loopholes.

FG Statement:

Fine Gael Agriculture Spokesman, Michael Creed TD, today (Thursday) raised in the Dáil the financial situation of Cappoquin Chickens which is under examinership. Deputy Creed said spiralling input costs and competition from cheap imports, which can take advantage of flawed labelling laws, were eating into farm profits and threatening agri-sector jobs.This Government has adopted idiotic Green Party policy on the importation of GM feed

"200 people are employed at Cappoquin Chickens and for them the news that an interim examiner has been appointed will be devastating. The wider implications for the agri-food industry are alarming. "The Government has failed to heed warnings on the impact of rising feed costs on the poultry sector and it is now clear just how hard these costs are hitting agri-business. CSO figures this week showed all farm inputs increasing in cost, with feed up 20%.

"The fact is daft Government policy on the importation of GM feed, introduced as a sop to the Green Party, is costing the industry up to €160 million a year. The new Agriculture Minister will be keenly aware of the closure of Grove Turkeys in Monaghan just a few months ago and, with Cappoquin now in trouble, he must undo the damage done by his Government's GM policy shift.

"We are also seeing the real impact of quality Irish product being undermined by loopholes in our labelling laws. The 'substantial transformation' loophole allows produce which has had minimal processing in Ireland, like the addition of breadcrumbs, to be passed off as Irish. Coupled with mislabelling this means Irish produce and cheap imports are not competing on a level playing field.

"Fine Gael's campaign on labelling laws has fallen on deaf ears in Government so far but the plight of Cappoquin Chickens is a grim wake-up call. As well as the closure of the 'substantial transformation' loophole and the tightening and strict enforcement of existing labelling laws, Fine Gael wants to see the introduction of a Green Ireland label. This single, recognisable brand would help Ireland capitalise in overseas and domestic markets on its reputation as a green, healthy, quality food producer and help secure a premium price for Irish produce and Irish farmers."