Beef Prices at Odds with Market Conditions

IFA livestock chair Declan Hanrahan said attempts by factories to lower quotes for beef cattle are at odds with market conditions.

He said UK prices have increased again in the past week on the back of tight supplies and good demand for beef in our key market.

Declan Hanrahan said imports of beef to the UK have increased by 11% this year, with Irish beef accounting for most of this increase.

“As the UK market takes increasing volumes of our beef, there is no justification for the extent of the differential in price, which currently stands at almost 60c/kg.”

This divergence in prices cannot be justified, is unacceptable and must stop.

Declan Hanrahan said earlier predictions from the UK on beef supplies have been revised, with estimates now pointing towards a drop off in supplies later in the year. This coincides with projections for our supplies to also reduce by up 60,000 head between now and year end.

“Farmers should reject the negative and unfounded propaganda coming from factories and their agents. Supplies are tight, demand is strong, and factories are very anxious for cattle,” he said.

Declan Hanrahan said the pendulum has shifted and with grass growth improving and cattle starting to do well, farmers should not be rushed into accepting the lower quotes being put out there.

The IFA livestock chair said mart prices are also strong for forward store and finished cattle and cows, providing for a real competitive outlet for farmers.