Future of EU beef sector under the spotlight in Brussels

The future of the EU beef sector will be discussed on Tuesday by the European Parliament’s Agriculture Committee, following a request by MEP Mairead McGuinness.

Representatives from the European Commission dealing with trade, agriculture and competition will participate in the discussion to answer questions and provide clarity on how the sector has evolved and what the prospects are for the future.

Pressure

“The beef sector is under enormous pressure, not least in Ireland where the frustration of farmers resulted in protests outside meat plants. And while the protests have subsided, the frustrations have not,” McGuinness said.

“It is very important that we have a debate with Commission representatives specialising in competition, trade and agriculture policy areas to ensure that the discussion is comprehensive,” she said.

Concerns

With many farmers expressing concerns about what they see as anti-competitive practices in the beef sector, it is vital that these concerns are addressed, she said.

McGuinness noted that EU competition policy may work against the interests of primary producers, with the consumer price being the only determinant of the effectiveness of the policy, with no account taken of the up and down stream consequences of price competition.

"Today, we hear calls for greater focus on 'public goods' - the environment, biodiversity and climate components of agriculture. However, there is broad acknowledgement that the market does not reward producers for these 'public goods' and, to some extent, the food supply chain works against the delivery of these public goods due to relentless price pressure on the primary producer.

"I welcome the recent establishment of producer organisations in the beef sector in Ireland. Brexit, EU trade policy and supply and demand patterns are just some of the issues impacting the sector.

"I am happy that the Agriculture Committee of the European Parliament will debate these issues. [The] meeting will also discuss transitionary measures for the Common Agricultural Policy, and megatrends in the agri-food sector," McGuinness added.

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