Cootehill Poultry, (Co-operative Poultry Products Ltd), the Cavan based poultry producer, was put into receivership on Monday, causing the immediate closure of the plant and the loss of 90 jobs.
The closure of this plant will have a significant effect on the local economy where most of the employees live and will also affect the 30 plus growers who worked for the co-op.
Cootehill was encountering increasing trading and liquidity issues in recent months (as outlined at the time by the Irish Farmers Journal) due to declining profit margins caused by feed prices and competition from cheaper imports.
The determination of retailers to maintain lucrative profit margins on their chicken business was also a contributing factor in this week’s receivership decision by Cootehill poultry.
ADVERTISEMENT
Growers met the receiver on Tuesday where the immediate priority was to source a purchaser for the stock in growers sheds. Western Brand stepped in as the only potential purchaser of the stock and its offer for the stock was accepted. The receiver told the growers that a payment would be deducted from outstanding monies owned top them for feed costs.
Again, the growers felt they had no choice but to accept this offer from the Receiver.
Some growers, with outstanding debts in excess of €25,000, are facing a significant write down on these debts while others are owed over €70,000 for two crops of birds.
Sources suggest Western Brand may now consider buying the factory premises at Cootehill.
Register for free to read this story and our free stories.
This content is available to digital subscribers and loyalty code users only. Sign in to your account, use the code or subscribe to get unlimited access.
However, if you would like to share the information in this article, you may use the headline, summary and link below:
Title: Cootehill Poultry gone into receivership
Cootehill Poultry, (Co-operative Poultry Products Ltd), the Cavan based poultry producer, was put into receivership on Monday, causing the immediate closure of the plant and the loss of 90 jobs.
The reader loyalty code gives you full access to the site from when you enter it until the following Wednesday at 9pm. Find your unique code on the back page of Irish Country Living every week.
CODE ACCEPTED
You have full access to the site until next Wednesday at 9pm.
CODE NOT VALID
Please try again or contact support.
The closure of this plant will have a significant effect on the local economy where most of the employees live and will also affect the 30 plus growers who worked for the co-op.
Cootehill was encountering increasing trading and liquidity issues in recent months (as outlined at the time by the Irish Farmers Journal) due to declining profit margins caused by feed prices and competition from cheaper imports.
The determination of retailers to maintain lucrative profit margins on their chicken business was also a contributing factor in this week’s receivership decision by Cootehill poultry.
Growers met the receiver on Tuesday where the immediate priority was to source a purchaser for the stock in growers sheds. Western Brand stepped in as the only potential purchaser of the stock and its offer for the stock was accepted. The receiver told the growers that a payment would be deducted from outstanding monies owned top them for feed costs.
Again, the growers felt they had no choice but to accept this offer from the Receiver.
Some growers, with outstanding debts in excess of €25,000, are facing a significant write down on these debts while others are owed over €70,000 for two crops of birds.
Sources suggest Western Brand may now consider buying the factory premises at Cootehill.
If you would like to speak to a member of our team, please call us on 01-4199525.
Link sent to your email address
We have sent an email to your address. Please click on the link in this email to reset your password. If you can't find it in your inbox, please check your spam folder. If you can't find the email, please call us on 01-4199525.
ENTER YOUR LOYALTY CODE:
The reader loyalty code gives you full access to the site from when you enter it until the following Wednesday at 9pm. Find your unique code on the back page of Irish Country Living every week.
SHARING OPTIONS