Cattle number decline to be reflected in strong prices for all categories

FARMERS can expect strong prices for all categories of livestock in 2012, according to Michael Guinan, the new chairperson of ICMSA’s beef and cattle committee.

Mr Guinan said it was quiet clear from analysis released by Bord Bia yesterday that finished cattle numbers in 2012 will be down between 50,000 and 80,000 head. This output reduction will force meat plants to compete for cattle, ensuring that farmers will be able to dictate the prices at which they sell their cattle. With the number of 18-30 month cattle down 129,000 head on October 1, 2011, it is clear that meat plants will find it more difficult to source cattle, he noted.

“The first thing to note is that farmers producing beef have been operating in a loss-making situation for many years and current prices are required to keep the farm business viable,” Mr Guinan said.