

Project Title
To introduce a new format straw product to market that can be used as a horticultural peat replacement.
Is co-funded by the Government of Ireland and the European Union, through the EU
Just Transition Fund programme.
Total project budge: €499500
EUJTF grant funding received: €300,000
Project Start Date: 29/01/2025
Project End Date: 31/03/2026
Project Description
Strawchip Ltd. is currently involved in the processing of raw straw that is produced in the locality. The raw material is milled initially and passed through a number of secondary processing stages to produce a family of products that are used for animal bedding, feeding and novel applications including as a biomass fuel.
Straw has some very useful properties, which are widely exploited in various sectors. For example, straw is a source of FIBRE. Straw is an INSULATOR. Straw is a low density MEDIUM, which can be used for its cushioning effect and which helps to maintain HYGIENE in certain applications. Strawchip’s processing enhances the raw material’s performance in all the above areas, which means that smaller quantities are required in many applications and RESOURCE EFFICIENCY improves dramatically.
The words FIBRE, INSULATOR, MEDIUM, HYGIENE and RESOURCE EFFICIENCY have been highlighted above. Each word can be used when describing peat and its uses.
Strawchip determined that the range of products produced do have potential to displace some and possibly even all the products that have been lost. As a small business, Strawchip realises that it cannot hope to replace an enterprise of the scale of Bord na Mona overnight, but it has the potential to produce enough product to be transformative for the business and it’s impact on the local community.
One product in the current range can successfully be used as a mulch, another can be used as a growing medium, two of the primary uses of peat. It is understood that straw products are different than peat and that they will not be deemed suitable for every application, but a modest amount of market penetration will create a significant business. Over time, it will be possible to develop a complete range of peat replacement products.
It is proposed to introduce to market a first-generation mulch product by introducing a baled product in a format very similar to the former 100 litre peat compost bale. The existing packaging equipment could not produce this format of bale and sufficient spare capacity did not exist to add new products to the production line.
To this end a number of machine manufacturers were approached. A bale format and machine specification were identified which allow the company to continue with its existing markets and enter the peat replacement market. It was proposed to acquire and install this equipment in this project to begin the process of tapping into the peat replacement market.
The project is approaching completion with the proposed equipment being delivered in Q2 2025 and commissioned shortly thereafter. The process of training and optimisation has begun with the equipment due to achieve its potential in Q1 2026.
The project will impact the social and commercial fabric of the area as it creates markets for raw materials and generates direct and indirect employment in the area. The project will positively impact the carbon balance of the markets it penetrates over time also. The midlands of Ireland is full of small businesses and industries that formerly thrived on the back of the economic stimulus provided by peat extraction. The new venture undertaken by Strawchip Ltd should help to counter some of that lost activity in what is an area that has been blighted by economic underdevelopment.
Find out more about the EU Just Transition Fund here: https://www.emra.ie/eu-jtf/
Find out more about EU funding here: www.eufunds.ie