Pig Producers Cannot Continue Without Support 19 June 2012
20.06.2012
IRELAND — IFA Pigs and Pigmeat Chairman Tim Cullinan has warned that pig producers will not continue in the industry with the level of uncertainty that exists at the moment.
«In the last year, over 8,000 sows have been lost because of the pressures on producers, and this will increase in the absence of a response from processors and the Department of Agriculture. In the case of the latter, there has been a total lack of clarity on what producers are facing from the new welfare regulations. Decisions have to be made now and producers need to know what support is there for them,» Mr Cullinan said.
He said the penetration of the Asian market achieved by Rosderra is not being reflected in the price paid to producers here. «Producers will welcome the market share gained by Rosderra, which now sells 20 per cent of its product into Asia, where the price is €2.20/kg. However, producer margins remain under serious threat because of rising input costs and producers are questioning why Rosderra is not the price leader in this country.»
Referring to last week’s interview with the Rosderra Chief Executive in the Farmers Journal, where Jim Hanley acknowledged the ‘difficulties at farm level... but this is just one point in time’, he said, «Without viable pig production, Rosderra will not have the raw material to supply the home market and break into other countries. Pig producers cannot make investment decisions for the future based on the current price, and a number of them have already made the decision to exit industry.»
Mr Cullinan said, «Food Harvest 2020 has ambitious growth targets for the pig meat sector, but this will not happen if producers remain under serious price pressure.»
