Farm bodies round on 'opportunistic' feed merchants
Farm organisations have slammed reports that millers and feed merchants are considering a €20-25/t price hike on compound feed rations.
Describing the proposed price increases as "opportunistic" and "intolerable", both the ICMSA and IFA said feed millers were in a better position than farmers to absorb the higher ingredient costs which have been blamed for the threatened lift in feed charges.
"The very first thing that ICMSA would say is that there should be no question of co-op millers contemplating a hike in the price of feed," said ICMSA leader, Pat McCormack.
"Co-ops are uniquely positioned to appreciate the kinds of pressures that their member-suppliers are under just now and it's intolerable that they would put up the price of feed when there's a fodder crisis already out there that is actually getting worse," he said.
"The co-ops will just have to absorb any input rises themselves because the farmers are under savage pressure," the ICMSA leader insisted.
Tom Horgan of the IFA's pig committee pointed out that feed ingredients were bought on year-long forward contracts and that short-term and seasonal price volatility should have "zero impact" on feed pricing.
He said pig producers were currently losing money and could not sustain further feed price hikes.