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Millers Must Drop Compound Ration Prices, says IFA

1 March 2016, at 12:00am

IRELAND - Irish Farmers Association (IFA) National Pigs Committee Chairman Pat O’Flaherty said IFA is carrying out a round of meetings with millers to ensure recent price decreases in raw materials are fairly reflected in compound ration prices.

Teagasc, in their home milling feed monitor for February, indicates fattener rations are costing €211/t (ex-port).

Mr O’Flaherty said he will be putting pressure on mills to drop prices without delay as farmers are under serious financial stress due to prolonged tight margins in the sector.

Pat O’Flaherty said: “Those in the pig feed industry are well aware of the current difficulties being experienced by Irish pig farmers. Without a reduction in input costs, the situation will only get worse, threatening jobs both on farm and in the wider industry. All players in the industry must achieve a fair margin if the sector is to survive and prosper.

“Currently margin over feed is 37c/kg, whereas 50c/kg is the breakeven target provided by Teagasc. Even more worrying is the average margin over feed for the past five years is running at 44c/kg. This is proof that Irish pig farmers have been in a considerable loss-making situation for a prolonged period. IFA is calling on mills to support the survival of Irish farmers by fairly reflecting price decreases in their compound ration prices. In conjunction, the factories must pay more at the other end for slaughter pigs to ensure the business of pig production in Ireland has a future.”

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