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Northern Ireland's agro-food industry is under huge pressure. Because markets have collapsed and prices paid to farmers continue to decline.
About 100,000 jobs depend on farming and food and the coronavirus lockdown is having a major impact.
Agriculture Minister Edwin Poots has warned of a “crisis” and is making the case for financial support.
He said firms and farms could go out of business unless action was taken to help them.
Restaurants, cafes, the catering sector and work canteens have all been closed for weeks and sales of meat and dairy through this so-called “food service” sector have dried up.
That impact is being felt all the way along supply chains, as farmers see a drop in prices paid for animals and processors watch domestic and export markets disappear.
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Northern Ireland's Agriculture Minister Edwin Poots (Right), Picture: BBC[/caption]
There has been an increase in supermarket sales, but it has not been enough to compensate for the losses.
Sam Chesney, a farmer near Kircubbin, County Down, is turning out premium beef animals.
He has seen a drop in price of £75 a head in the past fortnight, taking a huge chunk out of his profit margin.
He said he is “very, very concerned” as animal feed and fertiliser prices continue to increase.
Mr. Chesney said farmers cannot sustain losses for long.
“We have people knocking our door every day for their money, for contractor’s fees, for fertiliser bills, the banks are on our doors as well.
"It’s unsustainable and many farm businesses will go out of business.”
Beef processors are facing big problems too.
Food service would have accounted for about a third of the meat they produced.
While there has been a huge demand in supermarkets for mince, there is virtually no market for premium cuts like steak and much of it is being frozen and put into cold stores.
Prices for by-products like skins and animal fat, used in a range of products, have plummeted.
Processors estimate they are down £200 a carcass overall. Find more...
Source: Online/SZK
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