The Courier & Advertiser (Fife Edition)
Beef farm leaders call for better producer returns
Unions join association in saying the future of the sector is at stake
Beef farm leaders in Scotland and the rest of the UK have issued a series of stark warnings that the sector is in serious trouble and heading for even worse unless urgent action is taken to improve producer returns.
Triggered by an alert from the National Beef Association (NBA) which raised concerns for the “entire future of British beef production”, NFU Scotland (NFUS) and the NFU in England and Wales followed up by voicing their own dire fears for the sector.
Aiming their warnings primarily at the UK Government, retailers and processors, the three bodies united in highlighting falling producer returns, stating that British farmers were paid almost £4 million less in total for their cattle last week, compared to prices in June last year.
“With barbecues being dragged out of garden sheds and garages up and down the country, how can Scotch Beef be flying off the shelf while beef prices are falling through the floor?” said NFUS livestock chairman Jimmy Ireland.
English NFU vice-president Stuart Roberts said beef farmers were experiencing markets at a three-year low, and called for urgent and united action to re-establish sustainable returns.
He said: “At such a critical time for the British beef industry, farmers, processors, retailers, Defra, and the Agriculture and Horticulture Development Board (AHDB) need to work together to find solutions to this emerging crisis.”
He added that without urgent action, the supply chain and government will see a bad situation rapidly worsen in the weeks ahead.
NBA chief executive Chris Mallon said the issues were driven by a lack of competition between UK beef processors, an over-supply of imported products swamping the UK market, and by retailers who have dropped beef promotion over the last five years and “lessened their commitment to UK beef farmers”.
He added: “The producer’s share of the retail price is now below 48%, well under historic averages, and producers are understandably feeling underpaid for their produce.”
A Defra spokeswoman said: “This government recognises the concerns of our UK beef farmers and is determined to get the best deal for our farmers as we leave the EU.
“We have a nation of excellent, highly adaptable farmers and land managers, and we want to make sure that everyone is prepared for change.
“We are continuing to monitor the market and keeping in close contact with industry to ensure that we are listening to the needs and concerns of our UK beef farmers.”