Michael Fox, chairman of Associated Livestock Marts (ALM), believes uncertainties caused by continuous changes in specifications and falling beef prices has been casting a shadow over mart trading for much of the year.

“The fact that farmers had to jump through so many hoops this spring to even get cattle killed, never mind the lower beef prices and losses incurred, is putting huge question marks on farmer decisions,” he said.

“There are huge uncertainties now on what is the best decision to take and we can really start to see this in lower confidence for animals that have little chance of meeting the new range of specifications farmers are finding themselves facing.”

Michael says that smaller farmers and suckler farmers in particular are facing huge doubts.

“Smaller farmers are the main suppliers of marts. Some have historically used the mart as a means to trade finished cattle or dry cows to avoid having less power in trying to negotiate with factories. With the new specifications being introduced, limits on movements and slaughter-fit cattle losing out on the bonus if traded through marts, farmers have been left in no man’s land as to what is the best decision to take.

“This has played into factories’ hands as it is causing worry among sellers and is a way of limiting the live trade of livestock,” said Michael.

He said that farmers are looking for leadership and long-term signals and points to this as being key to returning confidence to the trade and giving farmers some security that they are making the right decisions.

“A major concern causing a lot of poor confidence is the failure of anyone to take on the factories and achieve results. The biggest disappointment is the lack of action and results from farm organisations and the Department. There is a lot of talking, but there is no resolution on specifications and this is weighing heavily on farmers’ minds in making decisions to buy or sell cattle,” he said.

Looking outside the mart trade, Michael says that monopolies on farm inputs and rising input costs, combined with the power of large retailers, is squeezing farmers to breaking point.

“The problem is that costs are rising everywhere, yet farmers are now getting less and less for their produce. There has to be something wrong when bullocks and heifers are selling not far ahead of dry cows, or lambs €20 less than old ewes, yet we are being told to produce animals younger and younger. Farmers are desperately looking for ways to improve or maintain their income yet there are not too many other alternatives.

“It is not just beef farmers getting hit, we also see the same with tillage farmers this year. If the Department doesn’t realise fast that farmers simply cannot survive taking more and more hits, there may be far less farmers not too far into the future.

“Marts will do everything they can to try to accommodate farmers through this difficult period.”