Brazilian beef ban to boost Irish prices

THE outbreak of foot and mouth disease in Brazil and the subsequent ban on beef imports from affected regions of that country have boosted cattle prices in Ireland, according to farm leaders who are monitoring developments.

IFA livestock committee chairman John Bryan said farmers with beef cattle to sell are determined to secure an immediate and significant price increase from factories on the back of very tight supplies and the EU Brazilian beef ban.

The Brazilian case and resultant EU ban will remove over 200,000 tonnes of beef from the market, equivalent to half of all Irish exports in a full year. This will leave beef supplies extremely scarce and should immediately drive strong demand for finished cattle, he said.

Mr Bryan said the factories blamed Brazilian beef imports for cutting beef prices by 25c/kg (10p/lb) in a two to three- week period in June-July this year. Farmers are now expecting prices to lift by an equivalent amount.

It was essential that farmers get the full value of their livestock. The price offered by the factories for cattle over the last number of weeks was undervaluing stock by at least e100 per head, he said.

ICSA beef committee chairman Robin Smith said: “Although the EU has only banned beef imports from the states of Mato Grosso do Sul, Parana and Sao Paulo, the vast majority of Brazilian beef exports comes from these three states. Sao Paulo alone is stated to be responsible for 70% of all Brazilian beef exports.

“This ban will leave Europe short of beef and Russia, which imported well over 300,000 tons of beef from Brazil to date this year, will have to now look elsewhere.”