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Farmers look for a beefed-up price

This article is from page 34 of the 2008-01-08 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 34 JPG

FARMERS are being encouraged to place an embargo on cattle being sold to factories — unless a major price increase is forthcoming.

Stock levels being sold to factories are currently at very low levels and any further decrease in the supply coming to factories could result in shortages of Irish beef in the home market.

Last Thursday, IFA president Pad- raig Walshe said that Irish farmers are not prepared to Sell cattle with- out a substantial price increase. Mr Walshe said that with finished cat- tle supplies extremely tight, factory

procurement managers and agents are finding it impossible to get stock at current price levels ranging from €2.97/kg (06p/Ib) to €3.14/kg (112p/Ib).

“Finished cattle supplies are ex- tremely scarce and farmers with cat- tle to sell have something factories desperately need. There was a full sell-out of beef in both the UK and domestic markets over the Christ- mas period and there is nothing left in stock,” he said.

“Brazil is now out of the picture and retailers cannot plan for any availability of Brazilian beef consid- ering the recent decision of the EU Grosenbeebicsy (eye mae

IFA National Livestock Commit- tee Chairman John Bryan said cat- tle feeders are determined to secure higher prices for finished stock to cover the substantial feed price in- creases this year and leave a reason- able margin.

The cost of finishing cattle has increased greatly, especially in the winter, as the cost of feed has risen greatly across Europe. This increase is a result of a scarceness in corn, due to poor weather conditions across Europe in 2007 and the loss of a number of traditional corn pro- ducers to bio-fuel.

“Brazil is now out of the equa- tion. Finished cattle supplies are not

available in any volumes in either Ireland or the UK and retail demand remains very strong,’ said Mr Bry- 2aOe

‘Factories had the power on price prior to Christmas with large num- bers of cattle coming off grass. The price power balance has now shifted to the farmer. Cattle numbers are scarce and farmers must demand a major price increase.

‘Factories need the cattle and now is the time for cattle farmers to insist on a price that covers production costs and leave a reasonable margin. Factories need to respond posi- tively to ensure a year-round cattle

supply.”

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