Farm organisations reacted with alarm to the news that Dawn Meats is to acquire Dunbia. Dawn Meats will likely have a share of between 24% and 26% of the national kill once the transaction takes place. It will take full ownership of Dunbia’s factory in Slane and beef processing facilities in Kilbeggan.

ICMSA livestock chair Michael Guinan said that farmers are justifiably concerned that ongoing concentration in beef processing will translate to lower prices and further pressure on already stressed margins

ICSA beef chair Edmond Phelan said: “This deal proves once again that the only hope for the beef sector in this country is competition between live exports and factories.’’

The Irish Farmers Journal spoke to IFA county chairs to get their reactions.

Listen to "Reaction: Dawn takeover of Dunbia" on Spreaker.

Francis Gorman, Laois

‘‘I was surprised it happened so quickly. My big concern is that we get a fair share of the retail price. I can understand that scale can be a help when you’re dealing with supermarkets, but they have to pass back a fair share of the retail price to us.

‘‘As the proliferation of the ownership of factories condenses, there’s no opportunity for the smaller processors to get into the market place. Competition at processing level is disappearing.

‘‘As well as that the large processors, particularly the biggest two, have a large portion of the rendering business as well.’’

John Bambrick, Kilkenny

‘‘In Kilkenny and Waterford, we now only have Dawn and Goodman. Goodman has taken possession of Slaney, which is covering a lot of Kilkenny.

‘‘Anything that takes competition out of the marketplace is not to be welcomed. We’ll have to keep a very close eye on what’s going on because we can’t let monopolies develop. It’s not for the good of farmers anyway.

‘‘The problem with the smaller producer is that he will be put out of business overnight if he’s pushed on price at all. While you can’t argue that there’s a monopoly, effectively there is.’’

Diarmuid Lally, Meath

‘‘I was happy enough that it was an Irish company getting involved rather than someone from outside the State. But it’s another independent niche gone out of the market.

‘‘Dunbia is very important in the meat area. It kills a good lot of quality cattle and is a good customer. I hope that Dawn will pay on the day. We always had to wait a few days with Dunbia and it was always a concern for farmers.

‘‘I would be hoping that the rest of the independent [processors] will be able to come together and be in a position to be a strong sector as well.’’

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Dawn-Dunbia analysis: loss of independent factory drives farmer fear