The Strike is over. What happens now?

Bass Reeves · 24-09-2019 12:51pm

Panch18 wrote: »

I would go as far as to say that all of that vat is being passed back to weanling/store producers. So i suppose if this VAT change is pushed through then we can expect weanlings/stores to fall by what 10-20 a head?

I am always amazed the way lads try to make out that all these little bits are passed back to the store/weanling producer. Money from funds like BEAM, vat, the extra 20c/kg to mid sized finishers, the extra in contracted prices to feedlot or processor owned feedlot producing beef at a loss etc etc...

All of these things are skewing competition around the ring. It gives a competitive advantage to minority of buyers that would struggle with there costs to compete against the majority of producers. It allows processors to control prices which in the long term as we have seen over the last five years reduces prices to other smaller sized finishers and this then reduces prices to store/weanling producers.

wrangler · 24-09-2019 12:59pm

Bass Reeves wrote: »

I am always amazed the way lads try to make out that all these little bits are passed back to the store/weanling producer. Money from funds like BEAM, vat, the extra 20c/kg to mid sized finishers, the extra in contracted prices to feedlot or processor owned feedlot producing beef at a loss etc etc...

All of these things are skewing competition around the ring. It gives a competitive advantage to minority of buyers that would struggle with there costs to compete against the majority of producers. It allows processors to control prices which in the long term as we have seen over the last five years reduces prices to other smaller sized finishers and this then reduces prices to store/weanling producers.

Subsidies have been distorting trade for a long time now, and if beef cattle go up €100 farmers will give a lot more than €100 extra for the stores.

yosemitesam1 · 24-09-2019 1:09pm

Bass Reeves wrote: »

I am always amazed the way lads try to make out that all these little bits are passed back to the store/weanling producer. Money from funds like BEAM, vat, the extra 20c/kg to mid sized finishers, the extra in contracted prices to feedlot or processor owned feedlot producing beef at a loss etc etc...

All of these things are skewing competition around the ring. It gives a competitive advantage to minority of buyers that would struggle with there costs to compete against the majority of producers. It allows processors to control prices which in the long term as we have seen over the last five years reduces prices to other smaller sized finishers and this then reduces prices to store/weanling producers.

10-20 euro a head advantage because of vat is nothing in the greater scheme of things and isn't really of any advantage. Would be surprised if all the feedlots were setup to try and take advantage of it as it's probably less than that when everything is taken into account.
The extra money to some finishers is purely for them cooperating with the factories. If the new producer groups want to get premiums they will have to offer some benefit by guaranteeing x head at x spec in advance. They won't be able to get a premium price by just dumping in whatever numbers and quality cattle they want whenever suits them

wrangler · 24-09-2019 1:26pm

yosemitesam1 wrote: »

10-20 euro a head advantage because of vat is nothing in the greater scheme of things and isn't really of any advantage. Would be surprised if all the feedlots were setup to try and take advantage of it as it's probably less than that when everything is taken into account.
The extra money to some finishers is purely for them cooperating with the factories. If the new producer groups want to get premiums they will have to offer some benefit by guaranteeing x head at x spec in advance. They won't be able to get a premium price by just dumping in whatever numbers and quality cattle they want whenever suits them

Processors will be slow to drop their links with their agents too, especially those with feedlots, agents have built up strong relationships with farmers that will be slow to change......... for Beef Plan now it'll be the same as breaking into a market,

24-09-2019 1:44pm

wrangler wrote: »

Subsidies have been distorting trade for a long time now, and if beef cattle go up €100 farmers will give a lot more than €100 extra for the stores.

We also forgotten why subsidies were introduced in the first place , ie to compensate farmers for lower prices

Base price · 24-09-2019 2:35pm

Welsh farmers to blockade Irish trucks carry beef into the UK at Holyhead port.
https://www.farmersjournal.ie/welsh-farmers-plan-to-blockade-trucks-of-cheap-irish-beef-496643

wrangler · 24-09-2019 2:41pm

Base price wrote: »

Welsh farmers to blockade Irish trucks carry beef into the UK at Holyhead port.
https://www.farmersjournal.ie/welsh-farmers-plan-to-blockade-trucks-of-cheap-irish-beef-496643

I was surprised they didn't throw Irish beef into the sea years ago, we are their Brazilian beef.
There won't be many cattle killed if it can't go to England

farisfat · 24-09-2019 4:29pm

wrangler wrote: »

I was surprised they didn't throw Irish beef into the sea years ago, we are their Brazilian beef.
There won't be many cattle killed if it can't go to England

They did throw it in around 20 years ago.

mr.stonewall · 24-09-2019 8:27pm

Got a reply from the competition authority to a letter I sent a few weeks ago. I feel there is a lot of eyes now focused on the factories at the moment, from a load of different angles, politians, farmers, media and other state bodies. All have to be seen to deliver something over the coming months.

wrangler · 24-09-2019 9:11pm

farisfat wrote: »

They did throw it in around 20 years ago.

I don't remember that.
Processors must be right pissed now....they can't get all their workers back either

K9 · 24-09-2019 9:21pm

wrangler wrote: »

I don't remember that.
Processors must be right pissed now....they can't get all their workers back either

Was talking to vet last week, said few of the meat boners went home when laid off and weren’t going to come back

Reggie. · 24-09-2019 9:56pm

K9 wrote: »

Was talking to vet last week, said few of the meat boners went home when laid off and weren’t going to come back

Great to see the factories getting hardship for a change

kk.man · 24-09-2019 10:05pm

wrangler wrote: »

Processors will be slow to drop their links with their agents too, especially those with feedlots, agents have built up strong relationships with farmers that will be slow to change......... for Beef Plan now it'll be the same as breaking into a market,

I know one of Larry's plants has dropped all agents. If you want cattle booked in you go through the production managers. They have skimmed the hauliers too.
This upped the ire of a group who were pro factory and wouldn't normally support the protesters.
I heard this plant was going to be a prototype for the rest.

MIKEKC · 24-09-2019 10:21pm

Reggie. wrote: »

Great to see the factories getting hardship for a change

If factories are short of boners less cattle will be processed. Who will have the hardship then?

Muckit · 24-09-2019 10:34pm

Are lads finding if hard to get cattle killed?

CloughCasey1 · 24-09-2019 10:41pm

Muckit wrote: »

Are lads finding if hard to get cattle killed?

Smaller lads like ourselves will be ignored for at least the next 3 weeks.

Cavanjack · 24-09-2019 10:44pm

Have cattle going Thursday. They were booked in two weeks ago so happy enough to get them away this quick ( although another 30cent wouldn’t have done any harm).

Dunedin · 24-09-2019 10:44pm

wrangler wrote: »

Processors must be right pissed now....they can't get all their workers back either

I’d say more to do with the poor conditions they had. When the workers were temporarily laid off, they saw it as a blessing and stayed out.

Tileman · 24-09-2019 10:54pm

mr.stonewall wrote: »

Got a reply from the competition authority to a letter I sent a few weeks ago. I feel there is a lot of eyes now focused on the factories at the moment, from a load of different angles, politians, farmers, media and other state bodies. All have to be seen to deliver something over the coming months.

Good to hear. What was the jist of their reply?

Panch18 · 24-09-2019 10:56pm

kk.man wrote: »

I know one of Larry's plants has dropped all agents. If you want cattle booked in you go through the production managers. They have skimmed the hauliers too.
This upped the ire of a group who were pro factory and wouldn't normally support the protesters.
I heard this plant was going to be a prototype for the rest.

Which one of Larry’s Dropped the agents?

Keep Sluicing · 24-09-2019 11:00pm

Muckit wrote: »

Are lads finding if hard to get cattle killed?

Ive 8 to go. Rang my agent on Monday. He could take them next Monday/Tuesday. They were prioritising AA, He and cull cows this week.

jimmydkid · 24-09-2019 11:07pm

Muckit wrote: »

Are lads finding if hard to get cattle killed?

I have three heifers ready to go, I rang the agent yesterday and they are going on Thursday morning.

mf240 · 24-09-2019 11:15pm

I don't think there's a backlog of cattle at all.
Think brexit is going to be kicked down the road another bit now too

Anto_Meath · 24-09-2019 11:16pm

I would guess the MODs on this site are happy its all over. I would say there was steam leaving their PCs at the rate posts were going up and cards been given out at various stages over the last few weeks.
Talking to lads in the mart tonight and there is resentment between some farmers, be it lads on the pickets who feel they werent supported and lads who feel nothing was achived only it delayed them getting their cattle killed... are they maybe 10 cent a kg better off maybe but they would be out it on feed.
Plus the light weanlings are probably making more than they were last year. Seen upon to €900 free & ready tonight for calves in around 320 -350 kgs. Yet anything around 450kgs getting it hard to make €900.

gerryirl · 24-09-2019 11:18pm

mf240 wrote: »

I don't think there's a backlog of cattle at all.
Think brexit is going to be kicked down the road another bit now too

That brexit is a bit like a bad tooth.. you know it'll have to pulled at some stage and your rather get it over and done with

MfMan · 24-09-2019 11:52pm

[HTML][/HTML]

gerryirl wrote: »

That brexit is a bit like a bad tooth.. you know it'll have to pulled at some stage and your rather get it over and done with

No. Keep putting it off for as long as possible. Then, some bright day, the British electorate might wake up to the fact that it's really a jolly bad idea after all. (I think the majority are in favour of Remain now anyway.) More and more coming to the opinion that it will not happen. Parliament currently will not stand for No-Deal, equally there's no majority for any kind of compromise deal. Ergo, quite possibly A50 could be revoked.

Bass Reeves · 25-09-2019 12:04am

wrangler wrote: »

I don't remember that.
Processors must be right pissed now....they can't get all their workers back either

It called the law of unintended consequences. It happenes when you think you are completely in control of a situation and fail to consider the consequences of your actions. The processor's were way to smart for there own good. Now everyove they make will be monitored and checked by someone.

Water John · 25-09-2019 12:10am

The lighter weanling, below 350kg is going for live export, hence the price.

kk.man · 25-09-2019 12:15am

Bass Reeves wrote: »

It called the law of unintended consequences. It happenes when you think you are completely in control of a situation and fail to consider the consequences of your actions. The processor's were way to smart for there own good. Now everyove they make will be monitored and checked by someone.

I completely agree. They got it not wrong but very wrong on many fronts. I'd say if they could turn back the clock they would do things completely different.

Good loser · 25-09-2019 12:53am

The most stupid action by the strikers must surely have been the stopping of the fridges leaving the plants.
The very best position to be in when the strike finished (for everybody) would surely have been to have all the coldrooms empty of product.

The Strike is over. What happens now?

Comments