The Irish Creamery Milk Suppliers Association (ICMSA) has questioned a decrease in Irish beef prices paid to farmers as prices in the UK and the EU either remain stable or are increasing.
Des Morrison, the association’s Livestock Committee chairperson, claimed that Irish factories “uniquely in Europe had managed to find a reason to cut the prices they paid to farmers”.
“The average reported Irish R3 steer price as of August 6, was €4.81/kg excluding VAT, which was down 42c/kg from June 25, six weeks previously,” Morrison noted.
“Over the same period, the EU price for young bulls increased 7c/kg from €4.91/kg to €4.98/kg excluding VAT, while the UK steer price remained at €5.22/kg excluding VAT.
“Why is Ireland yet again the exception where our prices fall? Every market we sell into or bear any comparison to has either stable or rising prices, but our factories have cut the price they pay us,” Morrison commented.
He asserted: “Every enquiry and review into our beef sector just comes up against this mystery where our beef prices seem to be…disconnected from everyone else’s.”
Morrison pointed out that the Irish average price recorded for R3 prime-male cattle in the same period in 2021 was 38c above the European average.
“The fall year-on-year is even more drastic and mysterious,” the ICMSA livestock chair claimed.
“The very least that Irish beef producers deserve is the EU average price and Irish processors need to get up to that immediately,” he said.
Morrison’s comments come the same week as the ICMSA published a submission ahead of this year’s national budget.
In it, the association called for an additional income tax band, which it said would help struggling farmers.
It remains to be seen if the government will agree to such a move before budget day.
The ICMSA is proposing that the income threshold on the 20% band for single/widowed farmers without dependents should increase to €37,500.
It said that the additional band of 30% should be introduced between €37,501 and €55,000 and the balance above €55,000 at 42%.