The Irish Cattle and Sheep Farmers’ Association (ICSA) has called for suckler prices to be “reset” to take account of increased costs.
ICSA Suckler chair Jimmy Cosgrave said the average suckler-only farmer makes around €9,000 per year.
“Suckler farmers have been hit hard with rising costs especially with the unsustainably low incomes in the sector,” Cosgrave said.
“Both weanling prices and factory prices for suckler stock must be reset to reflect these facts.”
Cosgrave was reacting to comments made by Kepak’s agriculture director Jonathan Forbes at a recent Kepak-organised farm walk.
“Mr. Forbes spoke about lots of things resetting, from beef and sheep markets to feed prices. However, the only thing that needs to be reset are the prices suckler farmers are getting paid for their produce,” Cosgrave said.
“While I welcome his acknowledgement of the importance of suckler-bred stock in our beef supply chain, the reality is that prices will have to increase for suckler farmers to stay going.
“€6 million has been pumped into Bord Bia over the last three years to do research on a suckler premium brand. It’s about time the processors translated this research into a better price for suckler beef.”
The ICSA has called for those markets, where the research suggests a premium price can be achieved, to be developed and such a premium should filter back to suckler farmers.
“We cannot allow this investment to go to waste,” he said.
He said a recent survey indicating that 63% of suckler farmers would consider a reduction scheme should give all processors a reality check.
“Low incomes and high costs are driving people out of suckler farming. Maintaining enough suckler farmers to service our beef industry will require Kepak – and all other processors – to find a way to pay for premium sucker beef,” Cosgrave continued.
Stay tuned to Agriland this week for the latest episode in the AgriFocus podcast series which focuses on the future for suckler farming.