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Irish beef factories have raised concerns about the impact low-priced beef from Mercosur countries could have on the European beef market.
The European beef market is “challenging” and it can ill-afford and influx of cheap beef, Cormac Healy from Meat Industry Ireland (MII) said on RTÉ Radio 1.
He said these concerns were heightened by the prospect of a no-deal Brexit and the disruption that could have to the beef sector.
Healy said it was disingenuous to suggest the quota of 99,000t offered to Mercosur countries was the equivalent of just 1% of the EU beef market.
If Mercosur countries chose to use the entire quota to send steak cuts to the EU, it would represent 14% of the steak market.
Steaks
Steak cuts are 8% to 10% of beef sale volumes, but make up 30% of the value, Healy explained.
He estimated that Mercosur steak prices were half of what they are in the EU.
Reducing the offered quota and ensuring measures are put in place to prevent all imported beef coming in as steak cuts will be the priority for MII over the next two years.
In the previous offer made to Mercosur countries, there had been measures to divide up the quota, but Healy said the EU had unfortunately given way on that.
Healy acknowledged that in negotiations there were winners and losers, but stressed that there should not be one loser that is disproportionately damaged.
He said opening the market would be damaging to the Irish beef industry which had a strong product.
“We cannot be sold down the swanny by give-away deals,” he concluded.
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