Thinktank on European beef says ‘situation is alarming’
10/05/2017
Farm Europe said: “The crisis in the meat sector is expected to get even worse in 2017 in the wake of the milk crisis (due to the increase in culling of animals). For the European Union, it is time to send a clear signal of its will to accompany the sector in its structuring efforts, without waiting for the next reform of the Common Agricultural Policy.”
Global beef demand is forecast to rise but the “situation for bovine meat is quite alarming both in terms of economic and societal aspects”.
A steady increase in slaughtering (linked to the difficulties experienced by the dairy sector) has affected prices.
In 2017, Ireland will experience 200,000 more cattle for slaughter than in 2015, it said, in addition to a chaotic situation on traditional export markets (Russia, Turkey) and the sharp fall of the pound in the wake of the Brexit referendum in the UK, which is the biggest export market for Irish beef producers.
In the Netherlands, producers increased the dairy herd in 2015 and 2016, ahead of the implementation of the new domestic regulation on Nitrogenous effluent release, resulting in 160,000 more cattle for slaughter.
Farm Europe says enhanced cooperation within the supply chain would improve planning and help promote European beef to consumers. It also sees restructuring as key “so that each partner in the chain is able to invest thanks to a fair level of profitability, develop the business sustainably, and be strong enough to play a full part in the devised strategy”.
The thinktank has published a list of recommendations.
“Farm Europe strongly believe in the potential of the EU beef and veal sector, both economically and in terms of sustainability, against the current pessimistic visions combining de-growth and abandonment of land currently experienced by producers,” it added.
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