Dáil Éireann díospóireacht -
Wednesday, 20 Mar 2002

Vol. 550 No. 4

Written Answers. - Beef Prices.

Seymour Crawford

Ceist:

249 Mr. Crawford asked the Minister for Agriculture, Food and Rural Development his views on the case being made by winter finishers that they need a minimum base price of ?2.68 per kilogram for R grade animals and ?2.52 per kilogram for O grade animals just to break even or make a modest margin in spring 2002; the action he intends taking with the meat factories to ensure that producers receive these minimum base prices; and if he will make a statement on the matter. [9147/02]

Minister for Agriculture, Food and Rural Development (Mr. Walsh)

The price paid by meat factories for cattle is primarily a matter between the factories and individual producers. From a producer's point of view, the price paid for store cattle is obviously a key element in determining overall profitability in any transaction. Based on winter finishing budgets prepared by Teagasc last autumn, current price levels appear to offer reasonable margins in the most part to winter finishers.

Any evaluation of cattle prices must also take account of the increased payments of the special beef premium and the slaughter premium which were agreed under Agenda 2000, the final instalment of which came into effect this year. The maximum premium payable on steers this year is 24 cent per kilogramme higher than in 2001.