IFA national livestock chairman, Brendan Golden believes beef farmers “should reject the lower quoted prices“.
He said the latest Beef Market Tracker show prices in Ireland’s key export markets remain strong and steady, increasing by 1c/kg in the last week.
Golden is of the view that moves by meat factories to undermine the trade are not justified based on the most recent market information published today.
He said numbers of cattle are tight and supermarket demand remains strong for beef.
Golden said factories cannot justify dropping prices when the Prime Export Benchmark price, compiled by Bord Bia, continues to show strengthening prices in Ireland’s key markets for beef.
He stressed that beef farmers have reacted angrily to this move by factories at a time when production costs are at their highest on beef farms.
The IFA national livestock chairman said that despite some factories quoting lower, base prices of €3.75 and €3.80/kg have been paid by plants this week for suitable bullocks and heifers.
Meeting with MII
IFA president, Tim Cullinan led an IFA delegation to meet Meat Industry Ireland (MII) on the recent price cuts attempted by factories.
He told the industry representative body the recent attempts by factories to reduce beef prices are not justified based on current market information, and farmers have reacted angrily to these attempts by factories.
He said the Bord Bia Prime Export Benchmark price tracker for the latest week, which is a composite of prices in our main export markets, does not show anything like the cuts factories are trying to enforce here.
Beef prices in the UK are strong and steady, rising over 7p/kg since the beginning of January, he noted. Supplies of finished cattle are tight and estimated to reduce by up to 80,000 head this year. UK production for the year is predicted to contract by 5%.
The farm leader acknowledged that there are ongoing issues
Cullinan said MII were left in no doubt that undermining of the market conditions by meat factories is not acceptable.