Irish Cattle and Sheep Farmers Association (ICSA) beef chair Edmund Graham has stated that if the meat industry continues its onslaught of beef prices, there won't be a need for any plan to limit the number of cattle.
“The price cuts we have seen since April are too much to bear for most beef farmers. It is an exit scheme in everything but name because farmers are being left with no choice but to get out anyway,” he said.
Graham urged the meat industry to reverse the cuts and he said without a change “there will be zero incentive for farmers to feed cattle this winter.”
€6/kg to cover costs
Last winter, Teagasc said prices would have to hit €6/kg in the spring to cover inflated production costs.
“We know now that prices did not even come close to that, with steers peaking at around €5.25/kg in April and falling since,” he added.
According to Graham, there are important problems the meat business needs to address regarding how it treats its suppliers.
“Producers are down over €200/head since the spring and we’ve been offered no legitimate explanation for that."
Leave sheds empty
Graham highlighted that there is a difference between prices here and the Bord Bia export benchmark getting bigger.
“The meat industry has no interest in closing that gap and giving local suppliers half a chance,” he said.
The ICSA beef chair is advising “farmers to seriously consider leaving sheds empty this winter,” unless prices improve.
“There will be plenty of customers for silage next spring and selling silage will almost certainly turn out to be more profitable than risking feeding cattle with expensive meal,” Graham concluded.
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