• Development of a Strategic Approach for a Single EU Beef Market

      Dunne, Liam; O'Connell, John J. (Teagasc, 2004-12-31)
      The MacSharry reforms of the CAP in 1992 initiated a major EU policy shift from product price support to a mix of lower prices and increased direct payments (DPs) as the primary method of supporting the income of cattle farmers. The reduction in the support price for beef and the introduction of new and increased DPs were phased in over a three year period up to 1995. In working paper No. 4 it was shown that cattle farmers in Ireland obtain the lowest beef prices in the EU but they also obtain the highest DPs per kilo of beef produced. The DPs are now a major source of revenue for cattle farmers in Ireland. Under the current system of administering DPs for beef, the value of DPs accruing to the individual cattle farmer is dependent on the possession of certain types of animals that are farmed within defined stocking densities. This paper evaluates how the changes have impacted on the margins for the cattle enterprise on the farms in the Teagasc, National Farm Survey (NFS) over the five year period 1993 to 1997. In particular the evaluation focused on: • the trends in the size of gross and net margins for a range of cattle systems • the trends in market based margins • the contribution of DPs to gross and net margins • the distribution of DPs among different types and size of cattle
    • Development of a Strategic Approach for a Single EU Beef Market. Extensification. An Analysis of National and Competitive Issues

      Dunne, Liam; Shanahan, Ultan; O'Connell, John J. (Teagasc, 31/12/2008)
      The economic merits of the two Options for extensification under Agenda 2000 were evaluated in relation to their ability to generate revenue and their impact on the competitiveness of Irish cattle farming.
    • Development of a Strategic Approach for a Single EU Beef Market: An Evaluation of Changes in the EU Intervention system and Labelling Regulations in Relation to Irish Cattle Prices.

      O'Connell, John J.; Dunne, Liam; Shanahan, Ultan (Teagasc, 01/01/2003)
      The intervention system for beef in the EU has undergone major changes since its inception. These changes were introduced because of changing circumstances in the EU beef market and because of cost factors and inefficiencies associated with and arising from the intervention system itself. While justified from these perspectives it can be said that from the perspective of beef producers the system has changed from being a mechanism which aimed at and operated to achieve a producer Guide Price which in turn was defined as “……..the price which it is hoped to attain on average on the Community market for all the quantities marketed during a given marketing year” (Com 370, July 1976) to one which has abandoned all efforts at achieving a desirable producer price and which provides at best very short term stabilisation of price at its market level. The aim of this paper is to trace the major changes which have occurred to the intervention system and the concomitant price achievement of beef in general in the EU and especially that of Irish beef. These changes together with other market and policy factors occurring on and since 1996 have combined to give a historically poor price performance for Irish beef which despite the growing importance of direct payments is still of major significance in the incomes and welfare of beef producers.