Further to the introduction of EEC Council and Commission regulations in the early 1980s, beef carcass classification became a requirement in each member state. Its main function is to provide a standardised method for reporting the price paid for slaughtered animals. The weekly price data from each member state, when collated and analysed by the European Commission, provides a basis for market management decisions under the common organisation of the market. In addition, carcass classification facilitates an equitable basis for payment to the producer because it provides an effective predictor of meat yield. The cost to operate the beef carcass classification scheme and other related duties is of the order of €4.25 million per annum.