A farm organisation is calling for “answers” on why the price for Irish R3 steers is 40c/kg behind the equivalent beef animal in the UK.
The Irish Creamery Milk Suppliers’ Association (ICMSA) said this afternoon (Friday, February 25) that, as of the middle of this month, Irish factories were paying up to 40c/kg less for Irish R3s than processors in the UK were paying for the same animal there.
Des Morrison, the association’s livestock chairperson, described the difference in price between here and the UK as “punishing”, adding that “no one could come forward with any kind of logical explanation for such an extraordinary price difference”.
“As of February 11, processors in the UK were paying the sterling equivalent of €5.04/kg including VAT for their version of R3 steers.
“At the same time, Irish farmers were receiving €4.63/kg including VAT from our processors,” he said.
Morrison claimed: “That price difference is punishing and represents a decision by our Irish processors to underpay their Irish farmer-suppliers.”
He noted that, as the last of the Covid-19 pandemic measures are lifted across Europe and further afield, there is a “surge” of demand for manufacturing beef.
“Irish processors are stepping-up throughput and volumes to meet that British, European and international demand, but as usual do not seem inclined to pass back any of the benefits to the farmers who actually produced the beef.”
The ICMSA livestock chair continued: “We can have all the reviews and forums we want. But until such time as our factories and processors finally grasp the fact that if they don’t pay the right price then they’re going to end up with no suppliers, then it’s all for nothing.
“It’s just not believable or acceptable that you could have a 40c/kg difference between the UK and Ireland, two markets that are as integrated and familiar as we all know them to be,” Morrison concluded.