Beef Markets Fundamentals Indicate Strong Prices for 2026 – ICMSA.

ICMSA Livestock Committee Chairperson, Mr. Michael O Connell has called on beef processors to call off the charades with regard to the ongoing price cuts and the messaging surrounding the beef trade post-Christmas.

The inconsistency from factories and manipulation of their farmer population is disgraceful.   We have seen weekly price cuts of 10c/kg reported by meats plants over the past few weeks but in reality, we are not seeing a 10c/kg reduction in average prices reported and paid on a weekly basis.   According to Bord Bia figures, the average price reported for R3 steers for week ending 6^th December was €7.32c/kg excluding VAT whereas the previous week was 6c/kg higher.   On the other hand, the Department of Agriculture figures reported that the average prices of all steers slaughtered in ROI plants decreased by 4c/kg.   ‘You don’t need to be a mathematical genius to work out that neither of these figures equate to the factories reported 10c/kg price drop, so it is quite clear, said Mr. O’Connell that it is it your average beef farmer taking the brunt of the price cuts with no cuts for feedlots.    We are seeing this time and time again where factories are ‘cleaning’ farmers at the expense of their own feedlot cattle or independent feedlot units.  

There is a huge variation in quote prices this week, said Mr. O’Connell.   Some factories are paying €7.30 for bullocks this week, possibly bought since last week, while others are quoting €7.20 and as low as €7.10 for bullocks.   ICMSA believes that it is time for the Agri food Regulator to investigate this further.

Mr. O’Connell further added that over the past fortnight, the rumour mill from agents and factory staff is an embarrassment from so-called people supposedly involved in the industry. The false claims that Bluetongue virus will have an immediate knock-on effect on beef price is a complete misconception and the fact that factory agents have tried to profiteer from this is totally unjustified.    Bluetongue has no effect on human health and hopefully the cases in NI will be isolated.   The factory narrative has caused a bit more urgency from farmers to move slaughter fit cattle but there is no need for panic in this regard.

Furthermore, the rumour mill has continued regarding market conditions as of late also.   We know where throughput of slaughter cattle has fallen to versus the equivalent weeks in 2024 but saying that market conditions are the main reason needs an explanation.   ‘Understandably, factories are killing based on a plan of what salespeople need to meet orders, but I’m sure that the beef which is filling these orders pre-Christmas wasn’t just sold today or yesterday’ stated Mr. O’Connell.   Supermarkets and retailers are doing their business with processers 3 to 6 months in advance, so why not pay the market price which was being paid when these deals were made?   A 40c/kg of a drop in the past month or 6 weeks based on today’s average carcass weights for steers of 345kg equates to €138/head or for a simple load of cattle, the best part of €2,000.   There is no operation that can suffer these types of fluctuations and to to remain viable factories must play ball and pay based on the market conditions at the time of a deal being signed.

Concluding, Mr. O’Connell stated that the interpretation of factories having lots of cattle, January will be a tough month, and cattle are going to be €7.00c/kg base price after Christmas is an indication of the usual tactics factories apply when they feel a supply squeeze coming.   Bord Bia figures have been 100% accurate all along and credit where credit is due, they reviewed them later this year and have been on the money with their information.   All indications show a further decline of available slaughter fit cattle based on a reduction of circa 60,000 calf registrations in 2024 and record export levels, it’s not going to be an easy ride for processors and ICMSA believes that the factories biggest fear is that they will be chasing their tails for finished beef, and while the bigger players blamed the smaller, independent processors for driving the mart and finished trade, they were all caught offside.   There is a massive demand for Irish beef across Europe and further afield and this is going to continue with a reduction in herd size globally and the dial is showing a greater demand for manufacturing beef also.   Numbers are not as flush as reported, farmers need to dig deep and demand fairness in the marketplace.   It is there to be got, concluded Mr. O’Connell.

ENDS  18 December 2025

Michael O’Connell is at (086) 8551015.

ICMSA Head Office (061) 314677.