Beef price increase needed to secure future of beef industry within Northern Ireland
28 September 2006
Jim Allister MEP has called on the UK multiples to increase the price which they are paying for beef cattle and lamb to ensure that a red meat industry remains within Northern Ireland. Jim Allister made the comments following the publication of the LMC Annual Report for 2005/2006 which shows that the Northern Ireland beef industry lost £125 million in 2005/06.
Jim Allister commented, “Figures released by the LMC this week clearly show the combined loss of the beef and lamb sector for the 2005/06 financial year within Northern Ireland was over £150 million. This loss is not sustainable over the longer term and unless the UK multiple retailers increase the price they pay processors for red meat the beef and sheep sector will rapidly decline over the next couple of years. This decline has already started and is evident in census figures published by DARD.
“If the large supermarkets want to secure a supply base of local product over the longer term it is vital that they increase their prices. Northern Ireland farmers cannot be expected to support the profit margins of the large multiple retailers throughout the UK by producing product at prices which are below the cost of production. The deficit of red meat throughout the EU and the decrease in imports of non-EU product has helped drive up the price of red meat throughout the EU. This price increase however needs to continue to ensure that farmers can start to make a profit for the animals which they keep.
Jim Allister also claims that the Northern Ireland industry is losing out in live animal trade to Europe due to different interpretation of EU legislation compared to other countries. “Within the Republic of Ireland a large number of suckler calves are currently being exported out of the country and farmers are receiving premium prices for these animals. Unfortunately the Northern Ireland suckler farmer is unlikely to be able to benefit from this trade due to more stringent export rules being applied by DARD and DEFRA. I am continuing to lobby DARD to ensure that EU legislation is not gold plated when interpreted into Northern Ireland law and that farmers can export animals under similar conditions that exist in other Member States.