Longford farming: ICSA welcomes improved organic beef prices

ICSA Organics chair Des Greene has welcomed the increase in organic beef prices to €7.00/kg, bringing them on par with conventional cattle prices.

"This flexibility and responsiveness to market trends is a positive step, as the price had been set at €6.50/kg until June. However, while this adjustment is welcome, It is unsustainable for organic farmers to receive the same price as conventional cattle when their costs are significantly higher," he said.

Mr Greene said it is vital that organic farmers receive a price premium to reflect the additional costs associated with organic production. "Organic farmers must adhere to strict standards, including the use of organic meal, which is significantly more expensive than conventional feed. Currently, organic meal costs between €600 to €800/t for beef cattle.

If organic farmers cannot secure a financial premium that reflects these costs, the entire organic sector is at risk.”
Mr Greene said organic farmers need to achieve a price of at least 15-20% more per kilo than conventional beef prices to remain viable. "In the past, organic beef commanded an additional 70c to €1/kg over conventional beef, which was essential to covering the higher costs of organic production. This premium must be restored if organic farming is to remain an attractive and viable option for farmers.

Farmers will not switch to organic if they do not see a financial reward for doing so. We need a pricing mechanism that ensures organic farmers are always paid a guaranteed premium over conventional beef prices. If we do not act now, the collapse of organic beef production is a very real possibility."

Concluding, Mr Greene said he is urging processors and policymakers to ensure that organic beef prices reflect the true cost of production.

"The bottom line is that organic farming cannot survive without a fair premium. While we welcome the price adjustment, the next step must be securing a pricing model that guarantees organic beef remains a financially viable enterprise for farmers."

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