Too early to say recovery is underway
Published 05/01/2010 | 05:00
Talk to any group of farmers these days and someone will invariably ask whether we're over the worst of the economic downturn.
Facts and figures will be fired out left, right and centre to support the various opinions, but in reality nobody really knows.
Some positive signals are emerging, but it is still too early to suggest that these herald the start of a general recovery.
Milk prices have improved and there is little doubt that world markets have finally bounced off rock bottom.
However, the recovery remains fragile and with serious quantities of both butter and skim milk powder still held in EU stores, careful market management on the part of Brussels will be required during the first half of this year and beyond that into the future.
There has also been good news of late for sheep farmers. Factory quotes have topped 450c/kg and more is being paid to secure supplies.
Lamb producers will hope that these price levels can be maintained through the spring -- even if the harsh experiences of recent years tell a different story.
The QPS grid is the big news on the beef front and its rise or fall could very well be the tale of the year.