Suckler and beef farmers 'cannot continue' to operate at a loss - farm org
Factories have today (Tuesday, June 24) been urged to stop price cuts and take a longer term view on beef prices by the Irish Farmers' Association (IFA).
Declan Hanrahan, livestock chair of the IFA, said that supplies of finished cattle are "extremely tight" with numbers - based on Bord Bia projections and the strong live export trade - expected to decline by nearly 100,000 from now to the end of the year.
In light of this the IFA believes there needs to be an "urgent reset from factories, supermarkets and politicians" about how they view and support beef production in Ireland.
"Suckler and beef farmers cannot and will not continue to operate at a financial loss.
"The evidence is there for all to see, not only in Ireland but in the UK and the EU, where production continues to fall," Hanrahan said.
He said that Bord Bia and the government have key roles to play to ensure "long term viable prices" to both suckler and beef farmers.
According to the livestock chair of the IFA, beef production is down in Ireland's key markets, the UK and the EU, and he wants to see this "supply demand balance" deliver for both Irish and EU beef producers.
“Declining beef production across the UK and the EU is a result of flawed policy decisions on Common Agricultural Policy (CAP) and damaging trade deals that have eroded incomes on suckler and beef farms, also severely undermined confidence in the sector.
"This will have very serious longer-term consequences for the sector and, critically, generational renewal within it,” Hanrahan added.
The IFA also pointed to the preliminary results of the Teagasc National Farm Survey, which were published yesterday (Monday, June 23).
According to the survey, the average family farm income rose by 87% to just under €36,000 in 2024.
But the IFA said today that the survey also underlined "the extent of the income challenges on suckler and beef farms".
IFA said the survey shows that both cattle rearing and 'cattle other' recorded the the lowest family farm incomes of all sectors and that direct payments "contribute 132% of this income on suckler farms in 2024 and 87% on beef farms".
The farm organisation said that in reality this sector had only reached prices "which reflected the actual costs of production and margins required when policy makers, factories and supermarkets started to undermine them again".
Hanrahan also said that although supermarkets "are quick to use the production standards" on Irish farms, they "are found badly wanting" when it comes to valuing the product at farm gate level.
The livestock chair of the IFA has warned that if factories do not take a longer view on beef prices then "they will be the first to lose out".
"Simply rolling over and cutting prices to farmers is not good enough," he warned.
Separately the IFA is also calling on the government "to stand firm" and reject any trade deals that would have a detrimental effect on Irish farmers.
Hanrahan said the fact the "UK is doing bilateral deals" and the ongoing discussions in relation to Mercosur trade deal, plus the possibility of a new EU/Australia trade deal fuels the current uncertainty hanging over Irish farmers.
He said the government must ensure the vital EU market for Irish beef "is not undermined by allowing additional access for cheaper produce in trade deals that all too often trade off farmers for other sectors".
