Tipperary ICMSA leader Pat McCormack is concerned over Beef Grid change rumours

The ICMA is insisting that Meat Industry Ireland provide the market and scientific basis for any proposed changes to the Beef Grid.

The call comes amid rumours that MII and other stakeholders are preparing to propose changes to the controversial Beef Price Grid on which farmers sell into factories.

Far from dealing with the defects designed into the grid, the rumoured changes would actually make the it even less fit-for-purpose than now, according to ICMSA president Pat McCormack.

The Tipperary-based farm leader pointed out that his association was the one farm organisation that had always been critical of the grid, which was now increasingly accepted as a major contributory factor to the low ebb of the overall beef and, specifically, suckler sectors.

“ICMSA is watching carefully what look like other parties finally accepting what’s been obvious to us for years: the need for a fundamental review of the Beef Grid,” said Mr McCormack.

He said that the reality was that the marketplace had changed substantially since the grid was introduced and the current EUROP grid was probably not reflective of market requirements.

“The last grid was introduced effectively without notice or consultation with farmers. It was over-complex and designed to disadvantage farmers and this can’t happen again if it’s reviewed - as it needs to be,” said Mr McCormack.

The ICMSA president said that the meat plants appeared to be focused only on increasing price differentials with the likely result that more animals will be penalised to give additional bonuses to a smaller number of animals.

“ICMSA’s firm view is that any review of the beef grid must involve simplification, a reduction in the number of categories, the payment of the Quality Assured Bonus on all cattle coming from QA herds and a grid structure that reflects Irish beef production today and market requirements,” he said.

Since its introduction, the present grid had undermined farmer confidence in the beef sector and changes need to be made, said Mr McCormakc.

However, such changed needed to be carefully considered and not tweaks that effectively compound already existing defects - like this idea that the differentials need to be widened which is exactly the opposite of what needs to be done,” he said

Meanwhile, IFA president Joe Healy has said that farmers are demanding a strong and immediate increase in beef prices.

He told MII last week that beef farmers had been short-changed on the price this autumn and it was high time the factories restored some confidence to the beef sector and increased prices.