Killybegs in County Donegal, one of Ireland’s busiest seafood hubs, is set to undergo a major transformation thanks to a €50 million investment aimed at future-proofing the region’s fish processing sector. This initiative, supported by Bord Iascaigh Mhara (BIM), will help modernize seafood processing facilities and implement cutting-edge energy efficiency measures, ultimately leading to the creation and preservation of jobs.
Among the businesses receiving support from the Brexit Process Capital Support Scheme, two companies are making significant investments in Killybegs. Gallagher Bros. (Fish Merchants) Ltd and Killybegs Seafoods have been granted a total of €12.1 million, making them the top two recipients under the scheme. Combined, these two companies will be investing €31 million in their operations.
This major investment in Killybegs will make it an even more attractive location for fishing vessels to land and discharge their catch, particularly fish that may have otherwise gone to the UK, mainland Europe, Norway, Iceland, or the Faroe Islands.
John McGuinness, Managing Director of Killybegs Seafoods, noted that their investment is part of a long-term strategy to ensure the sustainability of the business and maintain employment in the Killybegs region. He explained, “The primary objective of this investment is to bring transformational change to the business, enabling us to process larger volumes of fish more efficiently, and to create capacity for the development of increased value-added produce, primarily mackerel fillets.”
McGuinness added that this development addresses key risks, such as reduced mackerel quotas, increased energy costs, and difficulty in hiring seasonal staff, which could significantly impact the company’s performance. He emphasized that support from BIM and the Brexit Process Capital Support Scheme was crucial in embarking on this project.
Killybegs Seafoods was established in 1968 by John McGuinness’s father, Sean, along with Josie, Seamus Tully, and Paddy Gallagher. Today, John and his brothers Eamon and Donal continue to lead the business, employing 90 local people during the busy season.
Gallagher Bros. (Fish Merchants) is another family business that has been operating for over a century. Originally established in 1919 by brothers Jack and Phil Gallagher, the company currently employs 100 staff during peak season. The multi-million euro investment they are making in a new plant and automation processes will greatly enhance energy efficiencies within production.
The Gallagher Bros Project Green Factory Upgrade will further emphasize the processing of Mackerel and Blue Whiting products. David Gallagher, a third-generation family member and Director, expressed their enthusiasm for the future, stating, “We had plans to upgrade before Brexit happened and everything stalled. The Brexit Process Capital Support Scheme grant through BIM was the shot in the arm we needed to be more audacious. We are very excited now about the future, targeting more premium customers and offering high-quality mackerel fillets through an automated system.”
The total €50 million investment in Killybegs includes contributions from other seafood processors such as Norfish Ltd, Premier Fish Products, Donegal Fish, Sean Ward Fish Exports, Island Seafoods, and Albatross Seafoods. This significant investment is made possible through the Brexit Process Capital Support Scheme, which will allocate up to €45 million in funding to the Irish seafood sector.
Caroline Bocquel, CEO of BIM, applauded the investment in Killybegs, recognizing it as a crucial center for the fish processing sector in Ireland. She stressed the importance of innovation and staying up-to-date with automation technologies and energy efficiencies to remain competitive. Bocquel referred to the Brexit Process Capital Support Scheme as vital in supporting capital investments that foster environmentally-friendly, sustainable, and competitive enterprises, particularly in the face of reduced raw material supply.
To stay updated on the latest trends and innovations in the food processing industry, don’t forget to subscribe to our weekly newsletter.
