SCEP deadline coming up as ICMSA say scheme in underperforming and being overtaken by high beef prices

The Chairperson of ICMSA’s Livestock chairperson, Michael O’Connell, has reminded all SCEP participants that they have until 12 February to amend their 2025 or Year 3 reference number if required.  The reference number is based on the participant’s average suckler cow number from 2016 to 2021 and can be reduced by up to 20% for scheme year 2025 of their 2024 reference number. 

 “Participants should weigh up the pros and cons of any amendment as it may have implications in terms of payment received for 2025 and achieving the female replacement strategy action for 2025 where at least 65% of the yearly reference number must be 4 or 5 Star on the replacement index at the time of purchase or at the time of genotyping”, noted Mr O’Connell.

The Livestock Chairperson said that the scheme was visibly underperforming, and he identified a series of design flaws that were easily remedied if the will was there.

“The removal and dropout rate of the scheme for 2023 and 2024 is farcical. 4,500 or just over 20% of farmers who originally signed up to the scheme have either been removed or have voluntarily left SCEP. Certainly, suckler farmers do not see the benefit of being an SBLAS member which is accounting for 52% of these dropouts”, he said.

Observing that the majority of these farmers are selling their progeny as stores or weanlings where being a part of SBLAS is of no financial benefit, Mr O’Connell said that the dropout stats pointed to an aging farming population as well as a high percentage of suckler farmers being part-time and unwilling to ‘jump through the hoops’ associated with joining SBLAS. Mr O’Connell said that those farmers removed for not having being part of SBLAS should be allowed to rejoin the scheme. “Another obvious reason for the relative underperformance of SCEP was the ridiculous insistence on an online and in person training course. The average Irish suckler farmer is well over 60 years of age and expecting that age profile to do an online course was just not feasible given their tech proficiency or even access to computers. On the ‘in-person’ training courses, we had members from Clare and Galway – two of the biggest suckler counties in the State – having to travel 60 or 70 miles to do the course until DAFM added a further six additional courses following a request from ourselves”, said the ICMSA Livestock spokesperson.The weighing requirement is yet a further element adding to the workload and cost on farmers and making participation in SCEPS unattractive.

“Realistically, how many farmers have their own weighing scales? If they don’t, they have to rent one with the costs and additionally a biosecurity risk. For a farmer selling weanlings, with all data being recorded by ICBF and other stakeholders, why can’t the weights on a mart weighing scales be recorded?   What benefit or vital info is being got from weighing a suckler cow while she is rearing a calf?   It is a pointless exercise that’s stressful for the animals and the farmers”, he continued.

Calling for a review, Mr. O’Connell said the farmer verdict on SCEP was back in and indisputable: “The payment structure in SCEP is attractive but the requirements and criteria within the scheme are pushing interested farmers out”, he said.

“A perfect example is the female replacement strategy action for 2025. Participants must increase from 50% in 2023 to 65% in 2025 and we predict that this is going to mean another exodus from the scheme.  We have record beef prices at mart and factory level at present and participants with 4- and 5-Star maiden heifers and cows will be tempted to sell when faced with these attractive prices.  We don’t need to see further removals from the scheme for 2025. Our suckler herd has fallen dramatically over the past number of years due to dwindling incomes and years of uncertainty. Now we have prices that are seeing farmers finally being rewarded for years of exceptional breeding and dedication to producing top quality cattle. IF SCEP isn’t amended then farmers won’t use it and the original aim – to protect what’s left of the suckler farmers – will simply fail though disuse”, concluded Mr. O’Connell.

Ends           29 January 2025

Michael O’Connell, 086-8551015

Chairperson, ICMSA Livestock Committee

Or

Cathal MacCarthy, 087-6168758

ICMSA Press Office