The ICSA and the Irish Beef and Lamb Association (IBLA) were among the farm groups that have expressed frustration with an anticipated further cut to beef prices over the coming week.

Both groups have said they are expecting last week’s pull on factory quotes to be repeated next week and that such movement on prices cannot be justified.

The IBLA added that recent moves by beef processors has further highlighted the need for the establishment of an independent meat regulator.

Unwelcome signs

According to the ICSA’s beef chair, Edmund Graham, a further reduction in the processors’ beef prices could be on the cards.

“The signs are there that processors will try to pull beef prices again next week because they have essentially gotten away with it this week,” Graham warned.

“But it’s time for farmers to fight back and to draw a line in the sand. No farmer should accept any less than €4.20 for steers and €4.25 for heifers,” he said.

Unjustified cuts

Graham outlined the ICSA’s belief that such downward pressures on beef prices were unjustified, citing the reopening of food services and a continued demand for Irish beef in the UK as factors supporting his views.

“We are hearing that factories have been buying up cattle for the early part of next week at the €4.20 mark and will look to cut from then on,” he continued.

“However, there is no justification for driving the price downwards; the UK market has been getting stronger, and more and more food services are opening up and getting back on track,” he said.

Graham went on to express his thoughts that continual cost increases on farms have left “no room” for farmers to sustain a cut to beef prices.

Taskforce concerns

The IBLA has stated its position on what it sees as factories’ reaction to signals that the Beef Market Taskforce may be winding down.

“No sooner was it said in July that it may be the last taskforce meeting, when it was mooted that there was a unilateral withdrawal of feedlot buyers from marts. This in turn has filtered through to an unjustified price pull by meat factories,” IBLA said.

The group pointed to favourable export market conditions as a reason for processors to sustain previous prices, rather than reduce them.

“IBLA sees this as an opportunistic and a strategic attempt to further reduce cattle prices going into the weeks and months ahead,” the farm organisation added.