AI company Progressive Genetics has written to its customers informing them of changes to its terms and conditions around selling AI straws.
The changes suggest the company no longer accepts liability for any loss or damage caused to the farmer as a result of using its semen, whether inseminated by a technician or DIY.
It says it does not warrant or represent to the customer that any semen it supplies or distributes will result in a viable pregnancy, produce a calf that exhibits all or any of the characteristics described in any genetic evaluation, or is free from defects, including genetic defects.
Essentially, this means buyer beware for the farmer, as they can’t expect any comeback in the event of cows not going in calf or any other issue as a result of semen quality or AI technician problems.
The move by Progressive Genetics follows on from the saga over the AI bull Cloonigney Canning. Over 5,000 of his straws were used during the 2020 breeding season, with very low conception rates.
It is believed over €1m in total was paid out in compensation by both Munster Bovine and Progressive Genetics to affected farmers.
The letter states that increased use of sexed semen and genomics carries additional risk of reduced performance
In the letter to farmers, Progressive Genetics chief Brendan Scanlon says the company can no longer get insurance to cover certain elements of the business.There was no indication that the price of AI was going to decrease, despite lower insurance costs for the AI company.
The letter states that increased use of sexed semen and genomics carries additional risk of reduced performance.
When contacted by the Irish Farmers Journal, Munster Bovine CEO Doreen Corridan and Dovea Genetics CEO Ger Ryan both said they are updating their terms and conditions and expect to have updated versions released shortly.