Livestock

1.Cattle Prices

  • Cattle prices have continued to increase in recent weeks driven by solid demand and reasonable tight supplies.
  • Steer base price of €4.50/4.60kg. Heifer base price of €4.70/4.85. Specialist Herefords/Angus heifers/steers €5.00/kg flat paid. Bull prices of €4.50/kg to €4.70/kg. Cow prices of €3.40 to €4.20/kg.
  • Some pressure on cull cows prices in the last week. Farmers resisting this negative pressure and holding out to capitalise on the current strong thriving conditions.
  • IFA update the latest cattle prices twice weekly on the iFarm App which can be down loaded from
  • Store cattle price. Latest IFJ mart watch figures show the following.
  • Steers 400 – 500kg down 14c/kg or €63/head on last year
  • Steers 350 – 400kg down 18c/kg or €67/head on last year
  • Heifers 400 – 500kg down 9c/kg or €40/head
  • Lighter heifers 350 – 400kg down 23c/kg or €86/head on last year
  • Weanling bulls 300 – 400kg range back 23c/kg or €80/head on last year
  • Weanling heifers 200 – 300kg range back 48c/kg or €120/head on last year.
  • In general heavier more forward cattle are coming closest to last year’s record prices. As weights reduce the price gap get wider from last year.

2.Supplies

  • Weekly kills of 26,815 for w/e/ 01/06/13 and 25,794 for w/e/ 08/06/13.
  • To date this year the kill is running at 9% or 53,339 head above last years’ levels.
  • Latest AIMS data for March 1st 2013 show the following key statistics on cattle numbers.
  • Total of 295,301 more cattle in the country compared to March 1st 2012.
  • On the dairy side there are only 7,000 more male animals under 12 months of age in the herd compared to 01/03/2013, reflecting the recovery in calf exports.
  • There are an additional 94,000 male animals from the Dairy herd in the 12 to 24 month age bracket and an additional 21,000 more in the 24 to 30 month age bracket.
  • On the beef side there are an additional 52,000 more males in the 12 – 24 month old category compared to 01/03/12. There are also an additional 54,000 females in this category.
  • UK supplies remain very tight with a 3% reduction in slaughterings forecast for 2013.

3.EU Cattle Prices

  • UK cattle prices continue to strengthen moving up to €4.05/kg for R3 steers grade, equivalent to €5.00/kg.
  • EU R3 cattle price including 4.8% Vat for w/e June 1st 2013.
  • GB €4.90
  • N. Irl €4.68
  • French bulls €4.06
  • French steers €4.52
  • Germany bulls €3.81
  • Italy bulls €4.02
  • Spain bulls €3.97
  • Ireland steers €4.61

4.Live Exports

  • To date this year live exports are up 78.5% at 116,419 head to May 25th 2013.
  • The 51,000 increase is mainly calf exports to Belgium, Holland and Spain.
  • Exports to Northern Ireland are down 3,600 head to 15,712 and exports to GB are back 929 to 3,804 head reflecting the change in sterling and fallout from the horsemeat scandal.
  • Non-EU exports are up 7,167 head to 8,126 reflecting the 5,300 cattle sent to Libya and 1,984 to Tunisia.
  • IFA has called on Minister Coveney to clear more boats to service the important live export trade to Libya that IFA worked hard to re-open. The absence of boats is an inhibiting factor on this market. IFA has been working hard with exporters and the DAFM to have more boats cleared to meet Irish conditions. There are currently a number of boats up for approval with the DAFM. IFA has met with exporters, shippers and DAFM officials to expedite matters.
  • Plans for the Al Mahmoud group to sail the Express 1 with both bulls and lambs in the next number of weeks.
  • IFA has also held meetings with auction market managers and owners as well as feeder contacts in the UK to supply their needs in terms of cattle and beef. There is a major shortage of cattle and beef in the UK and with one of the highest beef prices in the world, there is serious potential for Irish exporters.

5.Beef Data Programme

  • An estimated 30,000 applicants have applied under the new Beef Data Programme.
  • The scheme will involve a payment of €20 on the first 30 calves and €10 on the next 20 calves born in the herd in 2013.
  • Farmers have to meet 2 commitments to be eligible for payment involving normal identification and registration before 27 days and complete an ICBF survey on quality and docility for the calf ad dam after 5 months.

6.Trade Talks

  • Major concern regarding the EU/Canada trade talks and the possibility of an announcement at the G8 Fermanagh meeting.
  • EU Commissioner De Gucht conceding further measures on EU beef access to Canada and reducing access possibilities to Canada on dairy.

7.Suckler Cows

  • Real concern at the pressure on suckler cows at farm level as a result of the ongoing withdraw of support, the high costs involved and pressure on incomes.
  • Clear evidence at marts around the country that some suckler farmers have taken the decision to reduce numbers.
  • Over the last number of years the following cuts have been imposed on direct payments which are now impacting severely on the incomes for suckler farmers.
  • Abolition of the €80 per cow Suckler Cow Welfare Scheme
  • Reduced from €80/cow to €40/cow for 2011
  • Abolition of scheme worth €40/cow in 2013
  • Beef Data Programme of €20 per cow
  • Cuts in Disadvantage Area payments
  • 2009 cuts in DAs through a reduction in eligible hectares amounting to €36m or a maximum cut of about €1,000
  • 2012 changes to DAs criteria
  • 2013 reduction in DAs maximum areas from 34 to 30ha
  • Closure of REPS scheme
  • 2009 – REPS closed to new entrants
  • 2010 – introduction of AEOS at lower payment rates and fewer number of farmers.
  • 2012 – 10% cut in REPS4 payments
  • On a 30 cow suckler herd, IFA calculate that the income loss from the cuts to direct payments over the last number of years amount to approximately €4,200 or about €140 per cow or over €100/ha.
  • Under the current CAP, Single Farm Payment for suckler farmers is based on €224 per cow plus €80 extensification premium amounting to €304/cow. In addition, suckler farms would have some additional special beef premium, extensification premium and slaughter premium payments.
  • The original total SFP payment for Suckler Cow Premium was €238.8m with an estimated additional extensification premium payment of €80m, bringing total SFP payments on suckler cows to €318m.
  • The costs for farmers in keeping cows have also risen substantially in recent years with current estimates at €650 to €750 per cow.
  • It is clear that maintaining the suckler cow herd is critical to the continued development of the Irish beef and livestock sector as outlined in the recent report undertaken by Professor Alan Renwick from UCD for the IFA.
  • Against the above background the IFA is strongly of the view that the national suckler herd must be maintained. To achieve this, the cuts imposed over the last number of years must be addressed and both national and EU direct supports for the suckler sector must be prioritised and maintained for the duration of the next CAP/RD programme.
  • These supports provide an excellent return on investment and value for money as outlined in the UCD report.
  • Direct support to the suckler cow sector must involve the following:
  • Strong national support similar to the SCWS
  • Protection of Disadvantaged Area payments targeted at vulnerable areas and sectors.
  • Strong environmental supports in the form of an environmental payment similar to REPS.
  • Full protection of SFP payments in the CAP reform negotiations including the option of a strong coupled payment for vulnerable sectors such as suckler cows.