Live exports to Spain have the potential to more than double in 2014. Ireland exported 36,844 head of livestock to Spain last year. There is a strong opportunity to grow calf exports this spring and ship more weanlings in the second half of the year.

On a recent visit to Spain, organised by Bord Bia, the IFA met with Spanish importers and representatives of the Spanish feedlot owners, who all believe imports from Ireland will increase in 2014.

IFA National Livestock Committee chairman Henry Burns said: “The Spanish sector is in recovery mode and is set to grow imports in 2014.

“Feed costs are down from last year and feeders are responding by importing more stock.”

In addition, he said beef prices have strengthened with R3 bulls currently making €4.00/kg (equivalent to €4.20/kg incl vat).

Heifers sell at significantly lighter weights and trade at 30c to 50c/kg premium on bulls.

On an annual basis, Spain produces 585,000t of beef, slaughtering 2.22m animals. Spain imports between 350,000 to 450,000 head of livestock each year. The main suppliers are France, Germany, Ireland, Romania and Poland.

Feedlot owners in Spain said that live exports to the Middle East and North Africa have provided a strong competitive boost to their trade over the last two years.

Spanish farmers are looking to import calves that are four to five weeks old and in the 53kg to 60kg weight range.

On weanlings, Spanish feeders are looking for good Continental cross bulls and heifers ranging from 270kg to 350kg.

In 2010, Ireland exported a total of 338,000 head of livestock, tightening supplies and driving up cattle prices in 2012 and 2013.

Henry Burns said there is no reason why calf exports cannot hit 160,000 head again in 2014.

“Recent events on bull prices clearly show that keeping male dairy calves in the country is a major negative for the Irish beef sector.”

Incova feedlot

The feedlot accommodates 1,200 animals and is located about 60 miles outside Madrid.

On the day of our visit, it was surprising to see snow on the ground and icy roads. The sheds are all very open and airy, as you would expect in Spain, designed to shelter stock from the hot sun, which reaches 30°C during the summer.

Most of the buildings were erected in 1998 on the 2.5 hectare site, in a grain and corn growing area.

The feedlot will put through 2,000 to 2,100 animals in a year. Cattle are in the feedlot for a minimum of 5.5 months.

The Incova group run another feedlot nearby with 1,000 cattle and three men operate the two units.

Incova also operate a feed mill nearby, which supplies ration to both the feedlots.

Cattle are fed an ad lib ration, supplied directly into the feed troughs from galvanised meal bins at each shed. Straw is available for roughage. Water is supplied from a well on-site.

The ration consists of 45% maize meal, 20% barley, 15% soybean, with the remainder made up of soya hulls, corn hulls, palm oil, fibre, carbonate, minerals and vitamins. The ration currently costs about €240 per tonne.

Average daily gains during the summer are 1.65 kg/day for the bulls and 1.3kg/day for the heifers. This drops back to 1.55kg for the bulls during the winter and 1.2kg for the heifers.

On average, animals consume 1.85t of ration. Feed costs are running at €2 per head per day on the bulls and €1.80 on the heifers.

All animals are treated with an antibiotic when they arrive and vaccinated for IBR and pneumonia. Veterinary and medicines costs are €27 per head.

Finished carcase weights are in the 330kg to 350kg range for the bulls and 230kg to 250kg for the heifers.

Spanish, French and Irish cattle were on site when we visited. The feedlot imported a number of loads of Irish weanling bulls and heifers last October.

These animals travelled very well and were in very good condition on arrival. The management is very pleased with their performance and intend importing more stock from Ireland in 2014.