The Ulster Farmers’ Union (UFU) says falling sheep prices are leaving the sector in an uneconomical state as farmers are not making enough of a return to cover input costs. It’s essential that processors provide a fair lamb price in order to improve the local market urgently.
UFU beef and lamb chair Pat McKay said, “Northern Ireland sheep farmers are facing unprecedented financial pressure as the downward spiral of lamb prices continues at the hands of processors. It’s vital that prices return to viable levels as sheep farmers are losing confidence. The poor weather in recent days has also added additional pressure.
“Input costs on sheep farms over the past 12 months have soared leaving the sector extremely vulnerable. Lamb finishing pellets are approximately £405/t compared to £290/t this time last year – that’s £115/t of a difference. Meanwhile, lamb price locally has collapsed by over £15 per lamb in the last three weeks, when the price needs to be rising weekly to cover increasing input costs. Prices are now lower than this time in 2022. The lamb market in the Republic of Ireland and Great Britain has also come under significant strain. We encourage sheep producers to shop around to seek the best price and increase their margins were possible.
“There is growing concern about the impact current trade will have on this year’s early spring lambs. We’re urging processors and retailers to step in and support the local sheep industry urgently. If sheep farming is not profitable it’s not sustainable, and it must be recognised that farmers are also consumers like everyone else. The cost of living is rising alongside input costs on-farm, how can farmers be expected to produce food to world leading standards and receive less than it costs to produce as a return? It is simply not viable nor is it fair, especially taking into consideration the extra work and feeding they are currently doing to care for livestock in the snow.”
