Contract doubts rise as AIBP keeps silent
Few, if any, of the much-lauded beef finisher contracts have emerged since AIBP's announcement last month.
The IFA's Michael Doran says he has not heard of a single farmer that has entered into a winter finisher contract along the lines of what was announced two weeks ago.
While discussions are ongoing, doubts are now growing over the availability of the offer to guarantee a base price after December for the majority of farmers.
These fears will be strengthened by the refusal of an AIBP spokesperson to either confirm or deny if contracts are available to producers.
"We are not commenting," he said about the contracts, while on the issue of forward prices, he replied: "That is a matter between the company and finishers."
The silence surrounding AIBP on deals for production of beef on contract has led to a lot of confusion among finishers.
It is understood that contracts have been offered by the company to selected large producers, with a guaranteed minimum of 330c/kg for steers from December 1 and up to eight cents/kg more for heifers.
However, several producers from different regions of the country have reported that they have been informed at AIBP factories that "contracts are not available".