Beef farmers have been urged to sell hard to maintain the upward momentum as factories have increased beef prices by 5-10c/kg. Irish Farmers’ Association livestock chairman Brendan Golden says the demand for beef is strong while the export demand for forward store and finished cattle provides competition.
He says that beef prices are running at 50c/kg above last year, for higher stocked beef farms, feed and fertiliser costs have risen by 65c/kg above 2021 levels, based on Teagasc estimates. It’s understood that the supply-demand balance in Ireland’s key export markets, the UK, and the EU, is very much in favour, while reduced volumes of South American imports also available.
However, it appears as though low-income beef farms will be suffering due to the increase as they struggle to absorb the increase in production costs.
Golden adds that the increase is not sustainable and that beef farmers should be protected from volatility.
This in turn has placed factories in the position of making decisions to ensure that beef prices returned to farmers are fully covered in the costs.
The IFA livestock chairman says factories must take full advantage of these conditions to maximise beef price returns to farmers.
Factories have been actively seeking cattle, as the demand-supply increases.
LSL News.