IDA pledge comes to Roche’s rescue?

AN IDA pledge to provide financial assistance for any new major investment in a Clarecastle pharmaceutical manufacturing plant helped to secure the future of almost 400 workers who contribute an estimated €250 million in wages to the local economy annually, it has been claimed.

According to a well-placed source, an IDA commitment to provide grant assistance to Roche and an impressive presentation from the Clarecastle plant played a major role in preventing one of the major employers in the Mid-West from facing the axe.

The IDA had not responded to a query from The Clare Champion at the time of going to press.

However, a spokeswoman for Roche said, “Roche have had a very good relationship with the IDA since we made the initial decision to locate our manufacturing facility in Ireland and we expect to continue this good relationship. The IDA has supported us during the review process and recently met with the Head of the Small Molecules Unit in Basle. However, the decision to continue to operate the site was a Roche decision and part of wider global strategic review.”

There was a collective sigh of relief earlier this week among the 225 permanent workers and the 160 contractors when it was confirmed Roche would not be closing its Clarecastle facility.

The company’s employment and payroll is worth an estimated €5m a week to the Clarecastle and Ennis area. It has a presence in 150 countries and employs 80,000 people worldwide. The company also employs 70 people at its commercial division at CityWest, Dublin.

Fears had been expressed about the future of the plant in the past week after the decision to discontinue production of an anti-cholesterol drug, Dalcetrapib, on the Clarecastle site.

The company, whose headquarters are based in Basle in Switzerland, began a review of its manufacturing to assess the impact of the decision to end production of the drug.

Following a reassessment of the Roche manufacturing network and in light of new information and ongoing strategic review, a company spokesman confirmed the decision has been made to keep all of Roche’s current manufacturing sites, including the site in Clarecastle.

The closure of the company’s site in Nutley, New Jersey is expected to result in a reduction of around 1,000 positions. Respective research and development activities will be consolidated in Basel and Schlieren, Switzerland and Penzberg, Germany.

There are no plans at this time to reduce the number of employees in Clarecastle. The plant, formerly known as Syntex, has been in Clarecastle since 1974.

Sven Hauptmann, managing director of Roche Ireland, said this is good news for the site and allows the Clarecastle plant to continue demonstrating the value it adds to Roche and the local community in Clare.

There has been a broad welcome in Clare to the good news, in light of the recent closures of major Ennis businesses, including Curley’s Furniture, Citygate, Ennis and Francie Daly’s Garage.

Deputy Joe Carey paid tribute to the IDA and Enterprise Minister Richard Bruton, whose involvement influenced the decision.

“This is really positive news for the entire workforce, the local economy and community in Clarecastle. There were some genuine fears expressed in recent weeks following a strategic review of the Roche Group’s global operations and this news brings a huge sense of relief to all concerned.

“This announcement is testament to the management team led by managing director Sven Hauptmann and the many years of hard work given by a loyal, skilled and dedicated workforce in Clarecastle. Now that this decision has been made, I am confident the company can bounce back and grow into the future.

“The challenge now is to secure the production of additional new products on site in Clarecastle and I’m aware that talks are ongoing in this regard,” he said.

Deputy Carey had held talks with management at the plant and also liaised with the IDA, Minister Richard Bruton and workers’ unions, as fears were expressed following some product difficulties in recent weeks.

Deputy Michael McNamara, who also made representations to Minister Bruton, welcomed the retention of the Clarecastle plant, given the quality and quantity of jobs it provides.

Describing the decision as a vote of confidence in the Clarecastle facility, Deputy Pat Breen said he was delighted for the staff and management, many of whom he has been in regular communication with over the past number of weeks.

“At an early stage, the IDA were in direct contact with the group’s headquarters in Basel in Switzerland and only last week I raised the future of the plant directly with the IDA’s CEO Barry O’Leary, following his appearance before the Committee on Foreign Affairs and Trade. He assured me he was in direct contact himself with Basel fighting the case for the Clarecastle plant,” he said.