The Irish Farmers’ Association (IFA) has called out what it said is the lack of meaningful and direct support for sheep farmers from the Minister for Agriculture, Food and the Marine, Charlie McConalogue, and sheep processing factories.
IFA Sheep Committee chair, Kevin Comiskey, was reacting to the latest attempts by factories to drop lamb prices at what he said is a critical time for the sector.
The association said that earlier this year, it highlighted directly to the minister and the factories, the importance of direct supports for sheep farmers and strong lamb prices to maintain production systems and ensure the orderly marketing of lambs throughout the year, given the production costs farmers are exposed to.
Support for sheep farmers
Comiskey said that the minister has not yet come forward with a targeted payment for sheep farmers to support the orderly feeding and finishing of lambs.
The sheep chair feels that this is contributing to the increase in numbers of under-finished lambs presented to factories.
Comiskey said the sheep factories are not without blame. “Their failure to provide strong and meaningful prices to farmers as a signal to invest in the orderly finishing of lambs is also a critical factor, while continuing to import live lambs and carcase lamb,” he stressed.
The IFA said prices in the UK have started to rebound, and critically in the key French market, prices continue at over €8/kg. Comiskey stated that this must be reflected in prices for lamb offered by factories.
The IFA has called on the agriculture minister to come forward “as a matter of urgency” with targeted payments to sheep farmers to offset the increased production costs on farms.
This support is needed to also ensure confidence is restored to the sector to underpin the very important store trade for sheep farmers, according to the IFA representative.
Factory prices
Comiskey has also called on factories to play their part; stand firm in the market place; reflect the strength of the French market in prices offered to farmers; and give minimum price guarantees for the coming months.
The IFA Sheep chair said the numbers of suitably fleshed lambs are scarce. Factories are paying to 22kg to secure these lambs; throughput is running 7% above last year’s levels; and earlier movement of lambs in the UK and throughout Europe should provide a solid basis for the lamb trade for the coming months.
“However, factories must reflect this in current and future prices for lambs,” he said.
“Farmers should sell hard, while conscious of lower kill-out weights and under-fleshed lambs to take back control of the supply/demand balance and maximise returns,” Comiskey said.