Fall in beef prices 'defies all logic' in wake of output decline - ICSA
The Irish Cattle and Sheep Farmers' Association (ICSA) has claimed that a new repot showing a steep decline in Irish beef production makes the drop in cattle prices "impossible to explain".
Ireland recorded the "sharpest decline" in beef production in the EU at the start of 2026, according to RaboResearch’s latest Global beef quarterly report, which was published this week.
Although the decline in production was felt across many of the major beef producing members of the EU, in Ireland it was significantly more acute, recording a 14% year-on-year fall off in production.
Sean Sherman, the ICSA beef chairperson, claimed that the "continued collapse in factory quotes defies all logic", in light of those figures.
"Factory quotes have fallen by 80c/kg or more since January and many finishers are now facing significant losses on cattle bought last autumn," he said.
"What farmers cannot understand is how prices can be falling so sharply when everyone agrees there are fewer cattle available," Sherman added.
According to the ICSA official, Teagasc highlighted the declining beef production at a recent stakeholder meeting, and said that profitability will be critical if Ireland is to maintain future beef output.
He also cited the confirmation from Meat Industry Ireland (MII) that throughput is down 19% this year.
"Farmers have been saying for months that supply is tightening. Now Teagasc, industry analysts and the processors themselves are all saying exactly the same thing," Sherman said.
"The question farmers are asking is very simple: If there are fewer cattle available, why are factories continuing to cut prices week after week?
Sherman said many winter finishers bought store cattle last autumn based on market signals which pointed towards strong demand and continued tight supplies.
"Farmers paid exceptional money for stores because every signal coming from the market suggested supplies would remain tight and prices would remain strong," he said.
"Those same farmers are now being asked to absorb massive losses despite the fact that cattle numbers have fallen exactly as forecast," the ICSA beef chair added.
"Farmers are entitled to know what has changed so dramatically that cattle worth over €7/kg at the start of the year are now being quoted at little more than €6/kg.
"The reality is if prices continue to be eroded at a time when cattle supplies are becoming increasingly scarce, more farmers will simply walk away from finishing cattle," Sherman warned.
"Farmers are not asking for special treatment. They are simply asking for an explanation," he added.
"Teagasc, market analysts and the processors themselves all agree that cattle supplies are tightening. Yet factory prices continue to move in the opposite direction," Sherman said.
The ICSA beef chair added: "Processors have had every opportunity to explain that contradiction, but farmers are still waiting for a convincing answer."
