Munster Express Online

The cooperative agriculture and dairy societies were once independently controlled by the farmers and milk producers in South Kilkenny and gave great service to the rural communities there for over 100 years. However, this is a far cry from the situation today, as a result of the decision of Glanbia to close the Loughcullen, Mullinavat and Carrigeen branches in South Kilkenny. This is a follow-up to the closing of the Kilmacow, Ballyneale (in Tullogher) and Slieverue branches some years ago.

It must be said that none of these branches operate on a cooperative basis now, and are merely branches of a corporate company Glanbia. This decision has been taken at board level. Ned Fitzpatrick, one of the 20 board members and originally from Knockmoylan, has been there for over 10 years and has been constant in his support for the South Kilkenny area and for the retention of as many branches as possible there.

Mullinavat Creamery was given a lifeline by the board over two years ago when they stopped short of closing it. On this occasion, it did not escape the decision taken by the board to streamline the Glanbia operation spread over five counties. In total, 11 branches are to be closed in this restructuring plan. South Kilkenny is part of this and will retain the branches in Glenmore, New Ross, the Port of Waterford, Ballyhale and Piltown, which will service the greater South Kilkenny area. Mr Fitzpatrick is confident that a vibrant and well-placed structure will be in place to serve the needs of farmers and the communities in general going forward.

Given its farming population now and the numbers supplying them, percentage terms are small and the South Kilkenny area will still far outstrip other areas within the Glanbia company in terms of locations in close proximity to each other.

Discontent

Having said that, there is a lot of discontent as a result of the board’s decision. Farmers have been calling on locals to support them and have also used public meetings to vent their criticism of that decision. IFA meetings have also been called in the area and the mood is one of dismay, considering that a profit is being made by Glanbia in the area. More meeting are to be called and we now understand that a mass petition is being considered, drawing names from the areas affected by this decision.

The cooperative movement commenced life as small farmer-owned cooperatives, as a result of farmers not being able to secure proper prices for their products. They were owned by the members, and in turn drew a dividend for unused or surplus profit (something like credit unions do today). Mullinavat was one of the first established, while Loughcullen was amalgamated with Glenmore some 60 years ago. This set-up ended when farmers voted in huge numbers to enter the free enterprise/business culture, selling their stakes for shares first in Avonmore and in the past decade or so to the enlarged Glanbia, one of the largest concerns in agri-business in Ireland.

The redundancies that will come as a result of the changes have yet to be worked out, and will be decided at management/union level. It may turn out that the five or six people directly affected by the closure will be redeployed within the company.

Challenges Ahead

So another part of rural living is to disappear in Loughcullen, Mullinavat and Carrigeen. The last reminders of the cooperative movement initiated by Horace Plunkett will be gone, along with a way of life that in fairness has been changing for a long time. The number of people involved in farming and, in particular, the milk business in Mullinavat alone could be down to under 30 dairy farmers, and in Kilmacow it is even lower.

We hope that some accommodation with the protesting farmers can be met, and that in time the branches remaining will become stronger to face the challenges ahead. We also think that Glanbia owes something in the form of a fund that could, for example, look at some form of alternative job creation going forward.

Local political reaction has been vocal, with local councillor Fidelis Doherty one of the most outspoken in terms of seeking reasons why profitable branches are been closed. She produced accounting information which disclosed that both Loughcullen and Mullinavat were highly profitable (we do not know the situation in Carrigeen). Deputy Bobby Aylward is also critical of the Glanbia decision and feels that perhaps a second look at the situation by the board of the company could be bought forward. Both politicians, who have gone on the airwaves and print media to express their opinion, feel that the branches have done a great service in their respective areas of business.