The live export trade to Spain has been strong during 2018, with total numbers for the year to date recorded at 87,954, almost twice the level for 2017.

There was higher calf exports right throughout the year and strong exports of weanlings since mid-August. Exports of calves have been a mixture of Friesian, Angus and Herefords, while exports of weanlings have also included some continental-cross bulls.

According to Bord Bia Irish live exports for this year are running at 212,828 head. This increase is mainly due to the number of dairy calves exported to Spain and the Netherlands. The number of bulls exported to Libya in 2018 was 4,489 head so it’s good to see this market has reopened despite the political chaos in that country.

Since the beginning of 2018, finished cattle prices have been slightly ahead of last year’s levels, averaging €3.91 per kg deadweight, excluding VAT, for R3 steers. This improvement mainly reflects the higher prices paid during the spring and early summer. However, over recent weeks Irish cattle prices have fallen below the equivalent period in 2017.

For the first 11 months of 2018 over 1.63 million cattle have been slaughtered in Ireland, official data shows. Compared to 2017, that is an increase of 56,099 head or 3.56%. This is a happy position for the factories however livestock farmers feel that the increased numbers has put pressure on finished cattle prices.

Some 615,035 steers and 438,129 heifers were slaughtered in approved beef export plants this year. In addition, some 362,067 cows have been processed this year – an increase of 22,563 head on 2017.

There is speculation in farming circles that the depressed price of beef and cattle now is due to the Brexit process and its deadlines. Beef farmers in Ireland regularly point out that factories pay significantly more for cattle in Britain although their cattle are going to the same beef market.

Official figures showed that there was a significant fall in suckler cow numbers from June to December of 2017, as the total number of suckler cows at 864,517 was down in June 2017 by almost 140,000 cows or a 14% decline in six months. There is no doubt that sucker farming is a low margin business so we can expect to see more of these farmers exiting this sector.

According to the Livestock & Meat Commission (LMC) – during the week ending July 15 – R3 heifer prices in the Republic of Ireland were 19.2c/kg behind what R3 heifers made in Britain and were on a par with the price achieved in Northern Ireland.

For example for the week ending July 15, a 300kg heifer carcass slaughtered in Britain made €126 per head, more than heifers in the Republic of Ireland. So as one would expect relations between the factories and cattle producers are not good indeed.

Cull cow prices are down by 33% since July 2018 and this is partly due to the increased no. of finished cattle available for slaughter and of course the increased no. of cull cows for sale as some dairy farmers reduced the size of their dairy herd.

Farmers behind a new splinter group of the Irish Farmers’ Association (IFA) say they formed their croup as the farm organisations have failed to establish a tenable plan for the beef sector.

The core members of the recently-formed body – called the ‘Beef Plan Group‘ – have been involved in a producer and purchaser group together for the last three years.
However, due to frustration over cattle prices remaining well below production costs, the group decided to take action into their own hands.

Over the last three months the group – which now claims to have more than 2000 members from across the country – drafted a new beef plan entitled ‘Beef Plan 2018-2025’. Their aim is to get 60% of beef producers or around 40, 000 farmers organised so as to pressurise the meat factories by withholding stock for sale as one of their tactics.

The blueprint of the document proposes 86 points across eight phases to address the issues of unsustainable farming and low prices.

The proposed phases identify different aspects that need to be targeted, including: sustainable price and factories; animal health; purchasing groups; producer groups; farm safety; government schemes; farm unions; and abattoirs.