Farming News - Talks break down over 'state of the art' sugar beet factory over commercial and permitting issues
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Talks break down over 'state of the art' sugar beet factory over commercial and permitting issues
Negotiations have broken down between an international company and the county council over land to site a £350 million sugar beet processing plant, which could now be pursued in mainland Europe.
The report in the Harrogate Advertiser says Al Khaleej International Ltd say plans for a facility near Allerton Park could 'die a death' after confirming that ‘commercial and permitting’ issues arose in talks with North Yorkshire County Council.
Mark Beardwood, Project Director, said that although the project was not cancelled, issues arose over the price of land: “We have put the project on hold; if it did move forward I think we would have to be persuaded.
"It has not been cancelled but they (NYCC) need to come forward and say something like a mistake was made, but I think it will die a death.”
He added: “We had previously agreed terms with North Yorkshire County Council but they wanted to change them. I am surprised that this has happened in the first place. If you agreed the terms of the sale of, say, a house, you wouldn’t expect someone to then change the price.”
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Pictured - The Allerton Park site, close the proposed new sugar processing plant.
The company also stated there had been discussions to see if the site could be made larger. It has not been cancelled but they (NYCC) need to come forward and say something like a mistake was made, but I think it will die a death.”
Early plans, revealed last May, would have seen the £350m processing plant built on a 286-acre site between York and Harrogate, close to the Allerton Park Waste Recycling Centre.
It would create up to 350 new jobs, they said, and involve a supply chain of 3,500 British farmers.
However, it has confirmed that no discussions are now being held over the site and it is considering options for the land.
A spokesman said: “North Yorkshire County Council can confirm that it is no longer in commercial discussions with any party about the proposed sale of land at Allerton Park. The council is therefore considering its options as it regards the site to be of significant strategic value.”
He said: “Its a tremendous opportunity for the county, and I believe it still is personally. We import millions of tonnes of sugar and could grow it here instead. We pay something like £300 a tonne and that is now on foreign imports.
"Yorkshire used to be a significant grower but there is nowhere to process it, which was the idea behind this.
“We were always looking at alternative sites but we will probably be going to another county.”