ICSA slams quality beef ‘rip off’ up to 15p/lb

U GRADE cattle would have made up to 109p/lb if a pricing system to reward better quality cattle was introduced after the January 2000 beef factory blockades.

“Quality beef producers are sick of propping up the market for farmers producing O and P grade cattle”, said ICSA national president Charlie Reilly, after last week’s statement by the Irish Meat Association, which said that better quality cattle are cross-subsidising poorer quality cattle in the meat processing plants of IMA members.

According to ICSA (Irish Cattle and Sheepfarmers Association), U and R grade beef producers are ripped off to the tune of 15p/lb (42 cent per kg) and 3p/lb (8.4 cent per kg) respectively by factories.

“Even at today’s unacceptably low prices, U grade steers would be £1/lb (2.80/kg) if a proper price differential was applied between various grades of cattle. Likewise, R grade steers would make 86p/lb (2.41/kg) under a proper pricing structure”, said Mr Reilly.

He said, “Beef pricing policy is now at a crossroads, the main problem for specialist beef producers is the lack of price differential between the better and the poorer quality grades of cattle. The vested interests in the beef sector need to decide whether we want a pricing system, which rewards the better, or the poorer quality cattle”.

He was responding to last week’s European Commission figures, used by the Irish Meat Association (IMA) to show that only 11% of Irish steers grade R3 or better, the lowest proportion in Europe.

According to the IMA, our poorer grading cattle are heavily penalised in European markets. “In Ireland, cattle in the better grades cross-subsidise the poorer grades”, said the processors’ association, which repeated its condemnations of the continuing IFA cattle price protest.

“IFA misrepresents market reality, the grade profile of Irish cattle and the overall returns paid to farmers. The overall return on Irish steers is on a par with young bulls in France, Germany and Italy”, said the processors’ organisation.

But IFA President John Dillon said on Monday that cattle farmers would continue their protest this week at AIBP Cahir and Nenagh; Dawn Meats Grannagh and Ballaghadereen; and Kepak, Clonee.