The Irish Farmers’ Association (IFA) is set to meet with more retailers as it calls on the sector to stop using food as a loss leader.
The IFA president Tim Cullinan spoke with the group’s poultry committee this morning (Monday, February 7) to discuss the ongoing income crisis in the sector.
Following the meeting, Cullinan said that the anger of poultry farmers is “palpable”.
A 24-hour picket, organised by the IFA, was held outside two Lidl stores in Cavan town and Monaghan town on January 25 and 26, following the discounting of chicken by the retailer.
“Selling a 1.9kg chicken for €3.49 disrupts consumer patterns and does have a cost. To suggest otherwise is utterly disingenuous,” Cullinan stated.
“It’s now clear that across the horticulture, poultry and pigs sectors, retailers are using food as loss leader. In recent weeks Lidl has even used organic produce as a loss leader,” the IFA president added.
IFA poultry chair Nigel Sweetnam said that “chicken and egg farmers are sick and tired of retailers ignoring their call for a price increase”.
“They made it clear that if there was no movement on price, they will take further action,” Sweetman added.
Meetings with retailers
Last week, the IFA met with representatives from both Lidl and Tesco to discuss the issue.
In the wake of its meeting, Lidl said that it will continue to be proactive in its engagement with and support of suppliers.
The German retailer said it takes pride in working with “more than 400 of the best local Irish suppliers and are committed to having positive, lasting relationships with them”.
It added that it has “clear and transparent contracts and agreements in place with all suppliers”.
Tim Cullinan has said that the IFA has meetings arranged with other retailers but warned “the time for talking is running out”.
“I want to make it clear to retailers that farmers in these sectors are united and determined.
“The retailers must go back to their suppliers and sit down with them to agree a pricing structure which ensures the economic sustainability of farmers and growers,” the IFA president concluded.