Pig processors are being called on to increase the prices they pay to farmers in order to secure a supply of Irish pigmeat into the future.
The Irish Farmers’ Association (IFA) has said that the supply of pigs for processing is “drying up fast”.
Roy Gallie, the association’s pig chairperson, said this morning (Wednesday, September 14) that demand for fresh pork is stronger in recent weeks, citing the shortage of pigs, lower average carcass weights, and the large volumes of frozen stocks of pork from cold storage being mostly cleared by now.
He noted that, in the last six week period, pig slaughter figures are down 7% on the same period last year. According to Gallie, some primary processors are only in operation four days per week.
“Processors must raise the price of pigs in line with comparable EU markets which are achieving prices 20% higher than the Irish price for the last three months,” he said.
“Every day that goes by, farm debt is increasing at an unsustainable level… We need to close this gap to repay the amount of debt that has accumulated over the past 400 days and to have a sustainable future in Irish pig production,” the IFA pig chairperson added.
He acknowledged that payments under the Pig Exceptional Payment Scheme 2 (PEPS2), which have now commenced, are “valuable aid” for a sector that “has been through a horrific year”.
“Even with that financial aid, the average size family will still incur losses of up to €250,000 for 2022.”
“Agricultural inputs are up nearly 40% since June 2021. All consumer goods are up 9.1%. Yet food price inflation is at 6.8%, according to the CSO. This simply does not add up to securing a supply of Irish pigmeat and Irish farm produce into the future,” Gallie said.
He argued: “Pig farmers need and deserve more than 11% of the average retail ham price.”
Gallie also called on businesses currently importing pigmeat to buy Irish pigs.
“This should apply to all procurement decisions, including hotels, guest houses, restaurants and government contracts,” he said.