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A shortage in organic beef finishers is becoming a problem for the beef sector.
Getting enough farmers who finish cattle into organic production was always going to be difficult. There is a premium in finishing organic cattle but that premium is quickly eroded when you have to pay over €700/t for ration.
That cost means people will focus on a grass-based finishing system and avoid any level of concentrate feeding during the winter months. Yes, in theory, if you make top-quality silage and minimise the amount of concentrates fed, you can finish cattle organically but in reality this doesn’t happen.
Price is another huge issue. Quoted prices for organic cattle this week are at €5.40/kg for bullocks and heifers. This includes the QA bonus, so it is actually behind the price being paid by some factories for conventional beef this week.
Farmers need to see the money before anybody jumps into organic beef finishing and Teagasc should profile the margins of a winter organic finishing system to demonstrate to farmers whether it’s viable or not.
The reality of the leakage problem is much more structural. The majority of farmers who are currently converting to organic drystock production are not joining to finish cattle organically. They are signing up to organics because of the support payments to do so. Is building an industry around this model the right thing to do?
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Getting enough farmers who finish cattle into organic production was always going to be difficult. There is a premium in finishing organic cattle but that premium is quickly eroded when you have to pay over €700/t for ration.
That cost means people will focus on a grass-based finishing system and avoid any level of concentrate feeding during the winter months. Yes, in theory, if you make top-quality silage and minimise the amount of concentrates fed, you can finish cattle organically but in reality this doesn’t happen.
Price is another huge issue. Quoted prices for organic cattle this week are at €5.40/kg for bullocks and heifers. This includes the QA bonus, so it is actually behind the price being paid by some factories for conventional beef this week.
Farmers need to see the money before anybody jumps into organic beef finishing and Teagasc should profile the margins of a winter organic finishing system to demonstrate to farmers whether it’s viable or not.
The reality of the leakage problem is much more structural. The majority of farmers who are currently converting to organic drystock production are not joining to finish cattle organically. They are signing up to organics because of the support payments to do so. Is building an industry around this model the right thing to do?
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