Letter re proposed ABP Slaney merger

Edmond Phelan, ICSA beef chair.

DEAR SIR: I am delighted to hear that the European Commission is going to look at the proposed ABP-Slaney merger. I am, however, disappointed that our own authority decided not to take any action. Disappointed, but not surprised, seeing the esteem in which big business and multinationals are held in this country, to the detriment of the primary producer. These companies carry virtually no risk. Beef farmers carry the stock for months or years and end up with a significant loss.

There are two very important figures to look at when you look at your farm accounts. They are your net profit and your Single Farm Payment (SFP). Most beef farmers will discover that the net margin will be less than their SFP.

Food Harvest 2020 and Food Wise 2025 have been an unmitigated disaster for Irish farmers. It has even brought dairying to its knees, almost down to the level that drystock farmers have endured for years.

During a session of the Beef Forum last year, Minister Coveney announced that Europe would not allow any producer group to control more than 15% of the national cattle herd so as not to exert too much influence in the marketplace. So why then should ABP be allowed to control 28% of the national kill of cattle and 40% of sheep?

Should they and others not be made divest themselves of some plants for the very same reason? This I believe is not without precedence in other sectors. I think that the Commission should broaden the parameters of the investigation and look at the entire workings of the meat industry. Forget FH 2020 and FW 2025 and let’s concentrate on a more pressing problem – Survival 2020.