Producers losing price battle

PRODUCERS are beginning to lose the battle with the factories on beef prices, with a majority of the processing centres reducing prices for R4L bullocks by up to 1p/lb or implementing a freeze on prices at previous level.

With a further slight increase in bullocks, price improvements were limited to one-in-four of the factories conceding marginal increases for bullocks and quality heifers. All three major processing groups paid less for bullocks, with individual southern-based factories within each group buying R4L-grade at 108p/lb.

Munster-based producers selling locally are forfeiting up to 3p/lb against the 111p/lb paid by Newgrange Meats, Donegal Meats and Euro Foods for similar grade stock, while similar weight/grade bullocks were worth €25/head more at AIBP’s Nenagh plant than the group’s Cahir factory last week. The Nenagh plant was also a leader on price for U-grade heifers at an average of 115p/lb for U2.