27 July 2018

2 minute read

Europe

He repeated his call on Minister Creed to call in the factories and tell them bluntly to stop cutting the cattle price.

"It’s time the Minister demonstrated he is on the farmers side," he said, adding that the Minister has undertaken a lot of work on market access but isn't giving a return back to farmers.

Mr Healy said the Minister met the banks this week on the fodder situation, which is positive, but he can no longer ignore the factories and must take action.

Mr He also said the meat factories have taken advantage of their suppliers during the severe drought conditions.

He said the factories have cut cattle prices unnecessarily over recent weeks destabilising the beef market and eroding confidence in the sector. He said, "beef farmers feel very let down by the factories."

Mr Healy contrasted the negative approach from the meat factories with the much more supportive approach from the dairy co-ops towards their suppliers, where many co-ops are paying drought top-ups on the milk price as well as subsidising feed supplies and providing additional credit facilities.

IFA National Livestock Chairman Angus Woods said the factories can stabilise beef prices at this critical juncture. IFA has been meeting with factory management at local level around the country highlighting the need for stability in the price.

He said prime cattle prices must be stabilised and farmers cannot afford any further price cuts. He said incomes are being washed away with very substantial increase in costs and falling price returns.

He said cattle prices in Ireland's main export market in the UK remain very strong having eased only slightly for the week ending 14 July with the R3 steer price at £3.77/kg, which is the equivalent to €4.46/kg inclusive of VAT at an exchange rate of 89p/€.

TheCattleSite News Desk