Beef boost over EU deficit outlook

Marts: The prospect for the beef trade for 2004 has been given a boost by the forecast of a deficit of up to 400,000 tonnes in the EU for the year which should lead to a positive market environment.

The latest forecast from the EU has predicted a fall in production in 2004, which together with relatively firm demand expected and the absence of any stocks of beef in intervention, is expected to lead to a deficit of up to 400,000 tonnes of beef for the year in the community.

Bord Bia predicts this should enable Irish exporters increase exports to key European markets in 2004, which should benefit the demand for beef at the processors. However, Bord Bia warns continued uncertainty in relation to the strength of the euro against the dollar could impact on market returns to this country.