The Irish Farmers Association (IFA) is seeking an urgent meeting with the Taoiseach over the Government's decision to award Greencore €98 million from the EU's €145 million sugar restructuring fund.
Minister for Agriculture Mary Coughlan announced last night that Ireland's 3,700 beet growers will get €40 million under the package. A further €7 million will go to contractors.
IFA President Pádraig Walshe said last night he was outraged at the Government's decision "to back big business rather than farm families". The IFA had sought €106 million in compensation.
"The farmers here have lost everything. Sugar beet was the cornerstone of the tillage industry, and over half of what they earned came from the beet industry. They have lost all. From this they will be getting less than €10,000 per farmer."
The IFA said it would seek a meeting with Bertie Ahern as soon as possible to protest against the allocation.
Greencore was also dissatisfied with the decision and has not ruled out a legal challenge. In a statement, Greencore said farmers and contractors should only have received 10 per cent of the fund.
"The board will protect the legitimate interests of its shareholders and will act to preserve the company's entitlement," it said. "The board will consider the options open to it and will decide on and pursue a definitive course of action in due course."
Fine Gael, Labour, the Greens and Sinn Féin condemned the Government decision as a capitulation to business interests over farmers.
Fine Gael's agriculture spokesman Denis Naughten today called on Ms Coughlan to appear before the Joint Oireachtas Committee on Agriculture and Food next week to explain her decision.
"The Minister's decision yesterday is the third time, in eighteen months, that she has turned her back on Irish beet growers," he claimed. "She failed to lift her hand to delay the closure of the Carlow sugar plant. She failed to retain an additional two years processing of the beet crop as part of the sugar negotiations. And now, she has failed to secure a fair deal in the distribution of compensation."