Greencore has said it cannot comment reports of a £6 million fine from the European Commission. The reports of the fine for monopoly practices surfaced in the Farmers Journal but a spokesman for Greencore said it was not aware that a decision had been made. It is understood that a fine of this level would be appealed by the company.

In March 1996, the Commission issued a statement saying it fully intended to impose a fine for infringing Article 85 of the European Treaty, which prohibits anti competitive agreements or cartels.

Greencore is one of several sugar companies investigated by the Commission. The investigation began in 1990 and relates to collusion in dividing up markets and setting prices over the eight years it was in State ownership. Greencore became a publicly quoted company in 1991.

The level of the fine can be up to 10 per cent of the company's previous year's turnover, bringing a maximum possible fine to Greencore to more than £43 million on 1995 turnover.

The Irish Farmers' Association has claimed that "the same monopoly approach" is being used to deny beet growers a fair price for their produce.

Greencore products have been boycotted by members of the IFA as part of the dispute over beet prices with Greencore.

The association's sugar beet chairman, Mr Martin O'Regan, said the strength of the boycott showed the strong solidarity among beet growers and farmers in support of the campaign for a price increase.