'High-quality food has a cost': Farmers say they 'cannot bear cost' of retailer cuts

Irish Farmers' Association president Francie Gorman said that the brunt of retail campaigns to cut prices on meat "cannot land on farmers".
'High-quality food has a cost': Farmers say they 'cannot bear cost' of retailer cuts

The IFA said it has engaged with all main retailers about the need for farmers to be "properly compensated from the food chain", and warned these retailers that they "cannot exploit their dominant position". 

Farmers are warning that they "cannot bear the cost of retailers' price cuts".

Irish Farmers' Association president Francie Gorman said that the brunt of retail campaigns to cut prices on beef, chicken, lamb, and pork "cannot land on farmers".

“These campaigns, regardless of what the retailers say, will have negative consequences for farmgate prices. We cannot allow this to happen,” Mr Gorman said.

"Consumers are entitled to the best quality produced meat, dairy, fruit and vegetables, and fish, which are sustainably produced to the highest standards as set and audited by Bord Bia.

"This high-quality food has a cost. Retailers and processors in the food supply chain, including our dairy co-ops, meat factories, and fruit and vegetable consolidators must be cognisant of the primary producer and their need for a sustainable economic return."

Undermining

The IFA said it has engaged with all main retailers about the need for farmers to be "properly compensated from the food chain", and warned these retailers that they "cannot exploit their dominant position". 

"This time of year has the highest cost for most food production," the IFA said.

The association pointed out in these meetings that price campaigns designed to attract footfall into their stores are "very damaging and ultimately undermine the value of what farmers produce".

This dominance of the market by such a small number of retailers has led to a "major imbalance in buying power and this must be addressed", the IFA added.

The Agri-Food Regulator has an "important and very urgent role to play in exposing where the margin goes in the food chain and potential profiteering by big retailers at the expense of farmers".

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