The average Irish pig farmer is now carrying debt of €600,000, according to the Irish Farmers’ Association (IFA) Pigs Committee chair, Roy Gallie.
Gallie told the IFA Farming and Climate Summit in Thomond Park, Limerick on Tuesday (January 10) that the Irish pig sector is now “in the 18th month of losing money continuously”.
According to Teagasc, a family size farm of 600 sows is continuing to lose money in January 2023, which equates to €14 for every pig sold.
It is estimated by Teagasc that Irish pig farms lost €103 million over the past 12 months.
“The pig sector generates €1.5 billion to this economy from simply 230 farmers.
“Pig farming is a classic example of what happens when an industry [is] exposed fully to world trade where the most economically efficient in the world ultimately predominate.
“Pig farming in Ireland has been economically unsustainable for the past year and a half.”
Gallie explained that cheap imports coupled with Irish farmers having to export their surplus to more economically efficient countries is undercutting the price paid to producers here.
In a press statement, the IFA chair added that the Irish pig industry has shown “immense strength and resilience” to withstand an ongoing financial nightmare.
“No industry can sustain this level of losses without either imploding or suffering serious permanent damage,” he said.
“International markets have been slow to start off the new year. We now have been met with a 4c/kg drop in the pig price from some of our main processors, while at the same time, feed price, which is 70% of the cost of producing a pig, has increased significantly.
“Irish producers are paying over 50% more today than what they paid in December 2020, with certain feed ingredients on the rise again.”
Gallie urged everyone, including retailers, consumers, butchers and the hospitality sector, to support “local and Irish” produce.
“We are calling on the industry not to impose any further price drops on the farmer.
“The next move must be up. If we want an industry to grow food for our customers, then a return to profitability is imperative – and quickly,” he said.