The Irish Farmers’ Association (IFA) must think that the supermarkets live in some form of hermetically sealed world.
This, in turn, may well render the supermarkets unable to actually work out what is taking place within the world of agriculture on a day-to-day basis.
However, it turns out that the polar opposite is the true reality.
So, let’s take Lidl as a case in point. No doubt the management within that business were fully aware of the fact that fertiliser prices have dropped over recent weeks.
Moreover, cows are now out at grass, day and night.
This is the cheapest time of the year to produce milk in Ireland. So, if one might wish to use milk as a ‘consumer promotion’ now would be as good a time as any to have a rattle at it.
I put this these suggestions forward as a possible line of thought only. In any event, I would have looked more passionately at the IFA’s attempts to push the cause of Ireland’s dairy industry had the push to use milk as a loss leader come during the winter months.
Milk production
All of this glosses over the disconnect that does exists within Ireland’s dairy sector. The term liquid milk producer is totally outdated and should be done away with.
In fact, I am surprised that the EU still allows this category of farmer to exist.
If the dairies want more milk during the winter months, they should be prepared to pay a decent bonus to those farmers who commit to autumn calving.
This approach works in the north, where all of the dairies pay a decent milk payment bonus during the months leading up to the end of the calendar year.
And every farmer committed to autumn calving gets the bonuses available. At the end of the day milk is seen by the processers for what it is – milk.
They separate out whatever product is required for liquid consumption on a need-to-use basis throughout the year.
Farm lobby pressure on supermarkets
But let’s get back to the IFA for just a little while. The organisation’s approach in supporting the various farming sectors has been extremely interesting of late – I think.
Some weeks ago, I attended a potato grower meeting in north Co. Dublin. On the night in question, most of the farmers said they were under extreme pressure, given the then state of the potato market.
On the evening in question, the hierarchy of the IFA in attendance committed to write to all of the multiple supermarkets on this issue. I have heard nothing about this matter since.
Meanwhile, the losses on Irish pig farms continue to mount up. The reality here is a very sober one indeed.
It has been 18 months, and possibly longer, since pig farmers managed to cover their costs.
Yes, there is talk of pig prices increasing in the near future. But for many producers this may come too late.
The other alternative is that farmers will, eventually, manage to balance the books, after which they will simply decide to pack-up shop. One person can only take so much stress during a single lifetime.
To say that the Irish pig industry needs a strategic plan for its future drawn up right now is an understatement of tremendous magnitude.
I question the impact of calling farmers out on to the streets. However, if the IFA called it as such on behalf of Irish pig farmers right now, I would definitely join the crowds.