There needs to be a stronger “kick on” in beef prices based on the latest positive news of increased sales from both the domestic and UK retail trades, and rising cattle prices in the UK, according to the Irish Farmers’ Association (IFA).
Commenting on the matter, IFA National Livestock Committee chairperson Brendan Golden said:
“While the food service sector remains a major problem, there needs to be a better return to the farmer from the strong increase in retail sales.
“Cattle prices are up 10c-15c/kg in the last two weeks – but returns are still loss-making for finishers,” he stressed.
In value terms, sales are up 15.2%, Golden said.
In the UK, the main export market for the Irish beef sector, retail sales for the 12 weeks to April 19 show beef volumes up 16.2% and spend up 15.3%.
Mince sales are reported up 27% and steak sales are up 10.8%.
Cattle prices in the UK are also rising, with the AHDB [Agriculture and Horticulture Development Board] reporting: “In the week ended Saturday, May 2, prime cattle prices were up by 1.5p/kg.
Steer prices led the way, with prices overall increasing by 1.6p, to [just over] £3.24/kg…carcasses meeting the R3 and R4L specs rose in price by 2.4p and 1.8p respectively.
“Heifer prices posted a more modest gain of 1.0p, to average £3.24/kg overall.
“R3 steers were up 2.4p/kg to £3.30/kg, equivalent to €3.95/kg including VAT at 5.4%. O4L cows were up 8p/kg to £2.39/kg, equivalent to €2.86/kg.”
The IFA quoted the AHDB also in noting: “Young bulls rose in price by over 3p overall, to [just over] £3.14/kg.
“Cow prices too gained a substantial 5.7p to £2.16/kg.”