Processors blame weakened market as farmers protest at cut in livestock prices

FARMERS last night warned they cannot continue to produce beef at a loss as they ended a 24 hour protest.
Processors blame weakened market as farmers protest at cut in livestock prices

The farmers staged protests outside 27 beef processing plants across the country. The livestock producers decided to take action at a meeting in Abbeyleix last week, after voicing anger at the way the meat factories had cut cattle prices.

However, Meat Industry Ireland (MII), representing the processors, said markets for Irish beef have weakened and this has resulted in a significant fall in the value of the carcass.

IFA deputy president

RuaidhrĂ­ Deasy said the meat industry needs to abandon its cut price

strategy and realise that farmers cannot continue to produce beef at a loss under the new decoupling policy.

The severe price cuts of 115 per head by the factories in recent weeks had wiped out any possibility of profit from cattle farming this autumn.

It had seriously damaged relations between the beef factories and their farmer suppliers, he said.

IFA livestock committee chairman John Bryan said Irish beef is now being sold in European markets and Irish farmers are entitled to European prices. Ireland is now close to the bottom of the EU beef price league, he said.

MII spokesman Cormac Healy said the outlook for next spring is more encouraging. “The market is expected to be in better shape and this should reflect improved price levels. Against this background, the orderly marketing of cattle this autumn is clearly advisable.”

Mr Healy said increased offerings of lower priced South American beef on both the EU and Russian markets are among the key factors in the weakening returns.

Russia remains the only international market which is open and purchasing Irish beef.

Mr Healy said that since July returns from the marketplace for the overall carcase have fallen by 13%, on average, and continue to fall.

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