Growers reel at news of sugar factory closure
4 July 2006
Today's announcement that British Sugar's York factory is to close next year will leave more than 1200 local growers reeling with shock.
That's according to the North East NFU, which says the potential impact of the closure will be devastating - not just for the growers but for an estimated 1500 people employed in associated sectors such as haulage.
A sugar factory has existed in York since 1926 and it currently produces 150,000 tonnes of sugar every year from more than 1.2 million tonnes of sugar beet.
Not only is the crop well established in Yorkshire, it has been one of very few genuinely profitable crops available to local farmers.
"As a result, this 'end of an era' decision will come as a body blow to the local farming community at a time when farmers are desperately in need of a period of stability that will allow them to plan for the future," said NFU Regional Director, Richard Ellison.
"The timing is particularly galling, especially as it seems British Sugar have not given enough time for the recent reforms to bed-in before making this decision.
"Equally they have just announced plans to use their Wissington plant in East Anglia for the production of bioethanol - a biofuel made from sugar beet - a move that could have a significant impact on demand for the crop.
"Understandably farmers will be wondering what the future holds for them and their land once this year's crop is harvested, given that once York closes the nearest factory will be Newark in Nottinghamshire.
"We have been through a period of real investment by many Yorkshire growers, so the financial implications of this closure are potentially very serious.
"On the environmental front too, this is bad news, as sugar beet is widely recognised as providing important winter habitat for birds and springtime nest sites for key species such as skylark.
"With the exact nature of the closure proposals still unclear, the NFU has an active role to play in urgent discussions now planned with British Sugar later this week. This should give us a better indication of how the closure will be handled and the exact impact on Yorkshire growers."
Alongside the York factory closure, British Sugar is also proposing to close Allscott factory in the West Midlands - a facility currently supplied by just over 550 growers. Both factories will close at the end of the 2006/2007 sugar campaign.
