Green Pages Feed Trade Topics from the Island of Ireland
IRISH COMPOUND FEED PRICES OUT OF LINE WITH INGREDIENT COSTS The Irish Farmers’ Association (IFA) inputs project team leader John Coughlan has said that compound feed prices are out of line with ingredient costs. He called on the industry to reduce ration prices immediately, given the perilous state of the beef finishing sector. “Many compound feed mills are not reflecting the significant
reduction in cereal prices, which unfortunately for tillage farmers are back by as much as €50 per tonne,” added Coughlan. “The failure by the mills to pass through the significant reduction in cereal costs is indicative of a major swing by compound feed manufacturers over recent years, away from the use of native cereals to imported maize and by-products.” “Such a move is potentially undermining the provenance of Irish
food production at a time when there is an increased focus on the carbon footprint. The feed sector has a duty to maximise native cereals,” he continued. “It has been shown time after time that livestock rations that include a high level of quality native Irish cereals consistently outperform many compound feed rations based on least-cost formulations, which invariably use high levels of imported by-products.” “Irish cereal production not only has an extremely low carbon
footprint but also enhances biodiversity when compared to imported feed ingredients.” Meanwhile, IFA grain committee chairman, Mark Browne has said
the decision by the Minister for Agriculture, Michael Creed not to grant a derogation for the use of the plant protection product ‘Redigo Deter’ is yet another severe blow for Irish tillage farmers. The IFA had written to the Minister requesting a derogation for the
product, due to its role in the control of Barley Yellow Dwarf Virus (BYDV). A Teagasc report concluded that BYDV has previously caused yield losses of up to 3.7 tonnes per hectare in winter barley and 1.2 tonnes per hectare in winter wheat in Ireland. The grain committee chairman said there was already precedent
for granting a derogation for Redigo Deter within the EU: Belgium, Denmark and Poland were granted derogations for the use of the product in 2019. “The Irish tillage sector has lost a number of key active ingredients
including the fungicide chlorothalonil,” continued Browne. “The failure to grant a derogation for Redigo Deter will further jeopardise the viability of Irish cereal crop production, which is already down over 50,000 hectares since 2012.” The failure of the Minister to support the sector on this issue further
erodes the ability of Irish farmers to compete against feed imports from other EU and, particularly, third countries which produce grains under lower environmental standards, according to Browne. According to CSO figures, Ireland imported almost 500,000 tonnes
of mostly GM corn from Brazil alone in the past two years. This grain is produced under a regime which allows the use of pesticides banned in Ireland along with widespread deforestation. “Different standards at Irish and EU levels for native and imported
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grains cannot continue to be tolerated,” concluded Browne. “It is hypocritical of the Irish government to increase the regulatory burden on local cereal producers, forcing them out of production, while allowing increased access to non-EU feedstuffs produced to a lower standard.”
UFU CALLS FOR LOCAL GRAIN PRODUCERS TO BE SUPPORTED The Ulster Farmers’ Union (UFU) is encouraging livestock farmers and the feed industry in Northern Ireland to support their local growers and buy homegrown grain as harvest gets underway. “Grain harvest is now in full swing across the country,” said David
Matthews, UFU seeds and cereals chairman. “After months of planning and having successfully delivered the best possible crop rotation protocols, farms are open for business and are eager to trade locally in Northern Ireland and the rest of the UK. Grain is a strong seller and arable farmers are looking toward the possibility of forward selling for the coming months, rather than relying on the spot market, which left many of our members in a frustrating predicament previously. I would encourage all growers to speak to their customers and discuss the subject of forward selling. Many buyers are willing to co-operate because thinking long-term and planning ahead benefits them as well.” “I encourage livestock farmers and the Northern Ireland feed industry
to support their local growers and conduct business locally,” Matthews continued. “By doing so, they will be supporting their neighbouring farming families, the wider agriculture industry in Northern Ireland and contributing to the care of our rural environment.” Responding to these comments, Northern Ireland Grain Trade
Association (NIGTA) chief executive Robin Irvine said that local feed millers are committed to working with grain producers in Northern Ireland. “Growers must be farm-quality assured in the first instance,” said
Irvine. “I would also advise farmers to give millers forewarning of grain that they wish to sell. A total of 10,000 tonnes of compound animal feed is required to meet total demand in Northern Ireland on a daily basis.” “In order to meet this demand, compounders enter into procurement contracts with international suppliers.” “Local supply can only meet a small proportion of the demand that exists in Northern Ireland.” “This is why local supplies must be phased in,” continued the NIGTA
representative. “Such an approach will also ensure that local growers are not caught in the downward price pressure that exists at harvest time. Prices will, very probably, harden as the feeding season progresses.” Irvine also pointed out that maize prices had been out of kilter with traditional market trends over recent times. “Normal service is now starting to be resumed, with maize returning
to its position at the top of the grain price league, followed by wheat and barley,” said Irvine. “This, in turn, should make wheat the cereal of choice in ruminant rations over the coming winter months. All of this is good news for local grain producers.”
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