On page 6 we have set out some calculations which underline why the current beef pricing grid in NI is not properly reflecting the meat yield of cattle being produced from suckler cows.

The figures we have published are simply to highlight the issue – if there is any appetite to look at the overall pricing grid, a proper NI-based trial would have to be done which involves dissection of carcases across grades.

But either way, the data clearly suggest that there should be much greater differentials across conformation grades and also much higher penalties for overfat cattle. By maintaining the status quo, we are in effect using beef from suckler cows to subsidise the price being paid for beef from the dairy herd.

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However, there are important caveats and processors will correctly argue that they do not necessarily want to have a payment system in place which encourages farmers to produce the highest yielding U-grading cattle which are more likely to be over 400kg. Any change to the payment grid would also have to come with penalties for overweight cattle.

Some might also point to the issue of breed, although ultimately, the bonuses put in place to encourage farmers to produce the likes of Angus or Hereford, should be separate to the beef payment grid used in NI.

Change

Perhaps the most fundamental issue is who will argue for change and how might that change be implemented. Do suckler farmers in NI have a strong voice? The reality is that this has to be cost neutral for factories, so it will mean the value is taken off lower conformation grades and put onto R+ and U grading cattle.

As a result, any change cannot be introduced overnight – there would have to be a long lead-in time.

But if we just decide to leave things as they are, then we are all just signing up to beef from plainer cattle being worth more than that from a higher-yielding animal. It is not a message that will encourage suckler beef farmers nor reward them for producing the best quality cattle.