'Glanbia and Kepak Twenty20 Club a 'strait jacket' on farmers'- Cahill
The Twenty20 Beef Club offering by Glanbia and Kepak is a “strait jacket” on farmers and anti-competitive, Fianna Fail TD Jackie Cahill has stated.
The agri companies presented the Twenty20 Beef Club pilot at a meeting of the Joint Oireachtas Committee on Agriculture yesterday where they said it affords members a guaranteed market for their heifers and steers with a predictable and transparent pricing formula at time of slaughter.
However, Fianna Fail’s Jackie Cahill slammed the closed-loop element of the scheme which means that farmers enrolled must buy all their inputs from Glanbia.
“The overall concept of a closed loop is anti-competitive and it’s a bad way for two companies pertaining to try protect farmers income. I think its anti-competitive and a very slippery slope for farmers to go down,” pointed out the Tipperary TD.
“I welcome the idea of promoting calf to beef systems, it’s something that is needed, but the strait jacket farmers are trying to be put in here is wrong. It was announced with fanfare, but I was surprised by the lack of noise from different organisations to it and lack of critical analysis to it.”
Mr Cahill added that he felt there was a suggestion in the scheme that other mills and merchants products were “inferior” to Glanbia.
“There’s a suggestion here that other mills are inferior to what is coming out of Glanbia merchants. I find the insinuation that the product that is coming from a private mill or other co-op mill isn’t up to the standard of Glanbia while not stated directly here the insinuation is there.”
He also said that Glanbia prices has been "consistently behind price being paid by other processors".