Beef price crash crisis looms

FOR the first time in 2005, factory prices for R grade bullocks fell below 90p/lb last week as the price crash leads to a looming crisis for producers.

Official farmer pay-sheet returns from the factories issued by the Department of Agriculture yesterday confirmed that the physiological benchmark of 252 cents/kg (90p/lb) for R grade bullocks has been breached. The return showed a factory average for R4L bullocks of 89p/lb the lowest paid since 2004.

The national average for bullocks and heifers fell by a further 2p/lb - individual factories showing higher reductions - and overall very few factories paying more than the quoted prices.