Farm organisations have reacted angrily to the cut in beef prices on offer from processors this week.
While demand for retail, or supermarket beef, is said to be steady, processors have implemented cuts of up to 10c/kg on bullock and heifer prices.
This, in turn, leaves prime animal quotes at approximately 350c/kg – a massive blow to farmers with factory-fit cattle to sell.
This also follows on from price cuts to both cow and bull quotes in recent weeks, as the food service sector bears the brunt of the Covid-19 pandemic.
The Irish Creamery Milk Suppliers’ Association (ICMSA) Livestock Committee chairman, Des Morrison, said that ‘in-spec’ prime cattle prices should not be reducing.
“It’s time everybody put on the green jersey – including processors. The last thing both the farmer and the processor want is to create a backlog of stock, as it is the primary producer that carries the cost in that situation – and we have witnessed that before,” he explained.
ICMSA Livestock Committee chairman Des Morrison
“At present, stock numbers are reducing and will be approaching their lowest level. If everybody plays their part, and sells their livestock as they come fit for slaughter, there shouldn’t be an issue – we don’t need a panic reaction.”
Additionally, the Irish Cattle and Sheep Farmers’ Association (ICSA) has said it is “disappointed” at this week’s price cuts.
Edmond Phelan, the association’s president, outlined that beef processors are now “taking advantage in a time of crisis”.
Beef price cuts
In addition, the coronavirus effect on cow and bull prices, and indeed demand, has been well-documented at this stage, with low factory appetite for such animals.
In terms of prices, there are reports of plants that specialise in cows where cuts of up to 20c/kg are being implemented – with similar price deductions in plants with a lesser demand. The pull in prices sees cow quotes tumble approximately 40c/kg in recent weeks.