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Low beef price, the 30-month rule, a review of the beef grid and price transparency in the food chain have been identified as key issues for the Irish Cattle and Sheep Farmers Association (ICSA) in upcoming beef talks.
ICSA president Edmond Phelan said it was up to processors to bring real offers to the table if they wanted business to resume and ensure a future for processing in Ireland.
“They have completely forgotten that if farmers can’t make a profit, there will be no future for their business either,” Phelan said.
Demands
On price, Phelan expected processors to engage from a position that they were unsustainably low.
He said all mechanisms to achieve a sustainable beef price must be explored.
On the 30-month rule, Phelan called for it to be scrapped: “[The] ICSA has consistently maintained that this is merely a racket to keep farmers down and it can no longer be justified.
"This has been exposed now with the statements by Supermacs and by Lidl that 30 months is not an issue for their consumers.”
He called for an investigation of the 70-day residency requirement by the Competition Authority.
He branded it an “anti-competitive measure”, which undermined free trade at livestock marts.
On the grid, he said the ICSA would insist on a better bonus for U grade cattle.
According to Phelan, factories had made a killing from the grid over many years, especially due to an increase in dairy stock.
Transparency
He called for transparency on who made what in the food chain: “[The] ICSA wants to see openness about what money is being made from the fifth quarter, as well as an accurate assessment of how much the farmer gets from the retail sales of beef.”
He said the issue of transparency was an EU-wide problem and that a regulator was needed at EU level to carry out compulsory audits that would “have powers to scrutinise the margins”.
Finally, Phelan called for a promotional fund aimed at counteracting “market difficulties and bad press for beef”.
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