Record cattle prices have not hit Irish beef sales.

Fears that beef would be pushed into the ‘luxury protein’ category by the inexorable lift in cattle prices have not materialised.

Volume sales of beef are holding firm nationally, while export markets are also performing strongly, Bord Bia maintained.

However, market analysts and butchers cautioned that consumers’ shift away from expensive premium beef cuts, both at home and abroad, shows that retail meat sales remain extremely price sensitive.

Beef retail sales up

Bord Bia pointed out that the latest Kantar data for Ireland shows that retail sales of fresh beef were up 2% for the 12 months to the end of November last year – although cattle prices rose 7% over the same period.

The food marketing body maintained that market indications from Britain and continental Europe were also largely positive.

“In Ireland, Kantar data shows that in the 52 weeks up to 1 December, retail sales of fresh beef are up by 2% - from 46,370t to 47,433t,” a spokesperson for Bord Bia pointed out.

Although the latest AHDB figures for Britain show a 10% drop in volume sales of mince, overall beef sales are up 4.5%.

Industry sources were not unduly worried about the fall-off in mince sales, explaining that heavy promotions by British retailers in the run-up to Christmas had resulted in many consumers shifting upmarket and purchasing more expensive cuts.

Consumer behaviour

Bord Bia’s Meat Shopper Insight Tracker found that in the third quarter of 2024, fewer consumers in Germany, Italy, the Netherlands, Sweden and Belgium considered that beef was too expensive.

The survey of shoppers found that 38% of consumers thought beef was expensive in 2024, compared to 44% in 2023.

The insight tracker noted that while consideration of beef purchases remains challenging for many consumers, 79% still considered beef to be a ‘relatively healthy protein’.

According to the latest figures from market research firm GIRA, total beef consumption in the European Union increased by 0.5% in 2024, despite increasing price levels, Bord Bia pointed out.

“GIRA forecasts suggest a modest decline in consumption of 0.9% to 2029 – suggesting quite a healthy market situation,” Bord Bia’s spokesperson said.

Christmas beef sales on par with previous years

Dave Lang of the Craft Butchers of Ireland agrees with Bord Bia’s analysis that beef sales are holding but he says price is having an impact on consumer choice.

“The early indications from our members are that beef sales held up well this Christmas compared to other years,” Lang said.

“But if beef is going to continue getting dearer and dearer then it’s obviously going to impact sales,” he cautioned.

The three biggest sellers in butcher shops are chicken, mince and pork, which proves that price is a major factor for consumers, Lang pointed out.

The fact that premium steak cuts are costing between €45/kg and €65/kg means that the market for these is limited, he explained.

However, Lang pointed out that fillet, striploin, rump and rib-eye account for under 20% of the carcase and that the cheaper products – such as diced beef, mince and burgers, as well as flank and shin – make up 80% of the carcase and the vast bulk of sales.