A new Beef Exceptional Aid Measure (BEAM) scheme is needed for beef farmers, according to the chair of the Joint Oireachtas Committee for Agriculture, Food and the Marine.
Jackie Cahill has called on Minister for Agriculture, Food and the Marine, Charlie McConalogue to introduce the scheme in response to falling beef prices as inputs remain high.
The Fianna Fáil TD for Tipperary said that there is “huge concern among farmers regarding the rapid drop in beef prices”.
“We are only in the second week of August and the drop we have seen is unprecedented,” he said.
Beef farmers
Deputy Cahill said that the difference being paid to beef farmers in Ireland and the UK is “stark”.
“In the last 11 weeks, cattle prices have dropped by 51c/kg here,” he said.
“In the same time, the UK market dropped by 26c/kg – half the Irish price drop. The price in the UK is 60c/kg ahead of Irish prices at the moment.
“Confidence is at an exceptionally low level among beef farmers and this is while the input costs on farms have risen dramatically over the last 12 – 18 months,” he said.
“If we compare just some input prices to what they were in 2021, prior to the war in Ukraine, it is understandable why farmers are feeling under so much pressure.
“Feed prices are €40/t higher and fertiliser prices are €60-70/t higher now than they were in January 2021.
“This is not taking into account the huge costs in 2022 and into this spring, including diesel and electricity costs, which have a significant impact on the cost of production.
“Finishers will be selling cattle in next number of weeks that they bought with prices reflective of the time of purchase. They have significantly dearer cattle in their production system,” the TD said.
Deputy Cahill has contacted Minister Charlie McConalogue and requested that a new BEAM scheme for cattle that are being sold between August 1, 2023 to January 1, 2024 be introduced to offset some of the current losses being incurred by beef farmers.
Over 34,500 farmers applied for the previous version of the scheme in 2019 and €78 million in payments were issued to participating farmers.
However, some 11,000 BEAM participants did not meet some, or all, of the commitments set out in the terms and conditions of the scheme.
As a result, the Department of Agriculture, Food and the Marine (DAFM) sought to recoup almost €18 million in overpayments.