ICMSA predict better year ahead for farmers
ICMSA President Pat O’Rourke said he was particularly encouraged by progress in objective grading of cattle and by Bord Bia’s prediction of a better balanced market in 2003 returning improved prices.
Cattle prices are the only real measurement of performance in the beef sector, said John Dillon.
Agriculture Minister Joe Walsh welcomed new efforts by processors to break into the Egyptian market.
He and his Department will examine points identified at the summit meeting, and a further meeting will be convened in the New Year.
Processors, represented by Irish Meat Association chief executive John Smith, warned that CAP review proposals threaten the viability of beef-processing in Ireland.
This year was one of the worst for the industry. It could not take on additional costs, and remain competitive, said Mr Smith.
Since 1995, increased slaughtering and deboning costs and falling returns from offal totalled more than 150 per head.
If the Government proceeded to reduce State subventions for waste disposal costs and BSE testing, the additional costs would have to be passed back to the farmer.
“Getting better access to EU markets and a re-opening of third country markets to Irish beef will be essential in order to cope with the additional 130,000 cattle which the industry is expecting to process next year”, added Mr Smith.
He said meat factories are trying to encourage better quality cattle with differentiated prices based on the age of cattle and grades.
He said Teagasc should focus research on feed systems to help farmers finish cattle under 30 months, with better conformation and reduced fat, in line with market requirements.
“Farmers and factories must work together to address the many challenges that lie ahead”.
“Confrontation of the type experienced in October can be very damaging for producers and processors alike”, said Mr Smith.
