Among the recommendations of a report on the Irish beef sector – by economist Jim Power – is a call for farmers to be “properly rewarded” for the environmental contribution they are making in sequestering carbon.
The report was presented to members of the Irish Farmers’ Association’s (IFA’s) National Council and National Livestock Committee yesterday, Tuesday, March 3.
The report acknowledged that the Irish beef producing sector is experiencing difficult market conditions at the moment and said “it’s being hit with a combination of negative forces.”
- CAP reform;
- Brexit;
- EU and global beef market conditions;
- The proposed Mercosur trade deal;
- Environmental considerations;
- The weak position of beef producers in the domestic supply chain;
- The growth of beef animals from the dairy herd.
Continuing, the report acknowledged: “Price compression at the retail level is a key characteristic of the beef market.
“The price of beef is being driven down at the retail level and attempts are being made to feed the consumer a diet of cheap beef in particular and cheap food in general.”
The beef sector report also recommends that unsustainable discounting should not be allowed “as it is not in the interests of farmers, processors or consumers”.
Among the report’s recommendations are that farmers must be properly rewarded for the environmental contribution they are making in sequestering carbon.
Beef brand
The report recommends the development of a new brand for Irish suckler beef and says the Government should apply to have this underpinned by Protected Geographical Indicator (PGI) status for Irish suckler beef.
The current focus of the debate about the in-spec requirements, and whether these are being demanded by the retailers, is likely to be overtaken by environmental pressures to reduce the slaughter age.
The current pricing system where farmers receive a bonus from meat processors for meeting in specification requirements “is frustrating farmers”, the report has noted.
The report stressed the importance “that farmers see a reward for participating in the QA Scheme”.
Concluding, the report – commissioned by the IFA – notes that “the in-spec bonus system should be amended to give some meaningful bonus to all animals coming from QA herds”.