Meat Industry Ireland (MII) has said that the share of the retail price of beef which farmers receive is 63% of the average retail beef price on a carcase weight-equivalent basis.

MII, the body which represents the factories, said recent suggestions that “farmers receive 20% of every €10 spent by consumers of beef in retail outlets are inaccurate.

"In fact, the producer share of retail beef prices is closer to two-thirds.

Independently published data

“Based on independently published data on Irish retail sales prices, on the mix of beef cuts purchased by Irish consumers and the yield factors involved, the actual price paid to beef producers represents 63% of the average retail beef price on a carcase weight-equivalent basis.

This can be independently verified.

“The same pattern of producer share of retail market price is evident in other EU markets where Irish beef sales predominate (UK; Germany; France; Holland),” according to MII.

The body said that while no one disputes that current market returns have driven cattle prices to a five-year low, inaccurate statements on share of return from the marketplace do not help to resolve the critical challenges faced by the entire beef sector.

Analysis

Analysis shows that for the 52 weeks ending 14 July, the average retail price for all types of beef sold in Irish supermarkets and butchers was €8.97/kg, while the average farmgate price for R3 steers was €3.90/kg when VAT is included.

Cattle prices have been well below the 52-week average over recent weeks.

For the same 52-week period ending 14 July, the average UK retail price was £7.81/kg (€8.49/kg at current exchange rate).

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