Ozzy Scott
Well-Known Member
You thinking of "branching " out ozzy?
not at this point in time. but think I would be at allot more financially, if the land had trees growing on it
You thinking of "branching " out ozzy?
I would be in support of replacing some of the beef herd with trees. Once the delusional are removed from beef production as the years go by, a huge amount of land will naturally free up with no one willing to farm it, I can't see even the land suitable for tillage being cropped and I don't know about the future of milk production in Ireland to give an opinion but I think there are lots of rose tinted glasses dairy farmers out there.
I assume allot of land will be afforested over the next 20 years, as land values will be slashed as there just won't be anyone willing to farm it. Once land values start dropping then there will be a seismic change in how Ireland is farmed or not farmed as is my belief. Lots of guys aren't no too bothered about not making money yearly as they rely on there asset value to lead them to believe they are doing well. Once land values change and farmers will quickly see that their pants are down. Depressing. All in all I think its a very good time to sell land, unfortunately there is allot for sale around here and near a buyer for even good ground
Thats a very gloomy outlook,but i have to admit your not the first one i have heard predicting the end of farming as we know it.
I distinctly remember similar predictions at the end of the "coupled payments"era.The theory then was that there would be land abandonment except for the really good areas.
Try renting a new bit and there will be lots of lads for it.
Mostly marginal land around here with a fair bit of forestry.The forestry companies are choosy enough,the are looking for blocks of minimum 30 acres.The are paying max4k/acre
Farming has been ending since it began. Worries over CC might be changing consumer demand (which Ireland could benefit from cos lots of people are mad for grass-fed stuff now) but actual CC will reduce land available to farm especially in warm countries like Oz or NZ
I can't say I agree with you on farming ending since it began. CC would change anyones demand except a few well off individual and lob in a few tree huggers aswell
And if you can point me in the direction of these people that are mad for grass fed beef please do. the majority of consumers buy on price and price alone. I for one wouldn't be overly bothered about beef being grass fed or the alternative aslong as the taste was up to scratch. Nowadays over half the beef animals being slaughtered are coming out of feedlot type systems at my local meat plant year round and I don't hear anyone complaining as the quality is of a higher spec from the cattle given a controlled diet than the traditional grass fed animal, but its a system that won't last due to economics unless the processors increase the downstream supply chain spend like they are already doing, similar to whats happening in the rest of the world, like what JBS,Cargill,Tyson's of this world are doingwhich in my eyes is a sad system of meat production
I can't say I agree with you on farming ending since it began. CC would change anyones demand except a few well off individual and lob in a few tree huggers aswell
And if you can point me in the direction of these people that are mad for grass fed beef please do. the majority of consumers buy on price and price alone. I for one wouldn't be overly bothered about beef being grass fed or the alternative aslong as the taste was up to scratch. Nowadays over half the beef animals being slaughtered are coming out of feedlot type systems at my local meat plant year round and I don't hear anyone complaining as the quality is of a higher spec from the cattle given a controlled diet than the traditional grass fed animal, but its a system that won't last due to economics unless the processors increase the downstream supply chain spend like they are already doing, similar to whats happening in the rest of the world, like what JBS,Cargill,Tyson's of this world are doingwhich in my eyes is a sad system of meat production
Care to outline those latter systems in a bit more detail Ozzy?
I'm broadly familiar with the names you mention but not what they are doing.
CC will change demands and we need to be ahead of that game.
You might have heard that Abp had done the deal for Irish beef with a change called WholeFoods. Folks that shop there (and they're pretty popular) are mad for all thing grass fed and willing to pay.
I think there's a difference though Ozzy between 100% grass-finished & grass-fed. For instance I was on a farm beside Trim in college that finishes a serious number of cattle (you could call it a feed lot but I wouldn't) yet the place looked more like a dairy farm with paddocks and tracks. Keeps the animals out for as long as possible then only for a short period of time finish them off a TMR including grass silage. One of the biggest surprises I ever got was hearing Frank Mallon himself talking about the importance of grass measuring and how he gets an expert in regularly on it. That's Frank the owner of Liffey Meats (for the few who don't know) obsessing with using grass to grow livestock
That's distinctly different from the US system where cattle are taken off grass at 9-12m and fed a mixture of corn, cereals and some forages along with ionophores and real antibiotics in vast sweltering uncovered feedlots.
The reason you don't see demand here in Europe for grass-fed is cos people assume it's all grass-fed, and for the most part they're completely right!
In all fairness if you think Wholefoods are going to shift allot of beef you must he loosing it.
you mention Liffey meats and its owners, last time I saw their accounts there was one glaring amount of money sticking out regarding the cattle farm, so I would take allot of there farming practices with a grain of salt. Keepak often come out with precarious figures aswell as recently as 6 months ago in the IFJ.
Looking at my own local plant even during the summer 30% of the cattle for slaughter are coming out of feedlot type systems. You could argue that these cattle are outside for 6 months of their life. Calf born in Janurary, goes to grass in march, rehoused in october and if their unlucky that it for there outside life. With cattle getting younger and younger being presented and wanted for slaughter most cattle will be killed around 18months of age at 300 - 350kilos
-CattlesiteOverall, the US grass-fed beef industry has grown 25% annually in last 10 years
anotherretail sales of domestically produced grassfed beef were less than $5 million in 1998, with only about 100 beef producers actively involved in grassfed beef production. By 2012, domestic retail sales of grassfed beef had topped $400 million, with more than $1.5 billion in combined domestic and imported product sales.
Thing about Wholefoods and others like them is not solely the amount of beef sold but also the value of that beef. However marketshare of beef is increasingly moving towards less but higher value
-Cattlesite
another
If a similar marketing strategy was deployed as we have done with Kerrygold, you'd be very surprised how much would be moved. The US An increase of 30% in demand for Kerrygold! and its was already the number one selling imported butter in the US and had 17% market share in Germany http://www.irishtimes.com/business/agribusiness-and-food/record-sales-of-kerrygold-boost-irish-dairy-board-s-turnover-1.1763733
The whole grass-fed thing about Ireland is probably the biggest marketing thing driving growth.
As for Liffey or Kepak, tbf what ever else you might think they're definitely fairly clever businessmen. Also should be clear when he was talking to a bunch of dairy farmers so its not like he was pushing grass to beef farmers.
Of course on the other hand its possible that grass isnt important and all the dairy farmers in the country are being lead astray...
Yep housing beef cattle for 9 months sounds like a shit system tbh. I'd say at one point near 30% of the liquid milk pool was coming from cows housed for most of the time. The number of lads in liquid milk on that system though has plummeted cos it wasnt a profitable way to do things. Just cos thats the way some do it doesnt mean its the best way....
(To be clear though some dairy farms housed are very profitable but the % of them that are loss making is higher than outdoor low cost setups)
Oh it will be brilliant if, the 5% of our beef that we sell into these top markets in Ireland at a much higher price, problem is it amounts to 0.5% of our total meat output
3% of a massive market: 10,900,000 tonnes of beef infact.Grass fed beef in the US now stands at 3% of the market, so it basically has gone from 2.5% to 3% in the last ten years. harley massive growth, the yanks seem to have just substituted abroad produced grass fed beef with home produced stuff, so hard to say the market has grown much.
I better not talk about my previous butter employers (they would want a serious boot where the sun don't shine they were so lax on business) :homy:, sure most of that US butter is made under license in the US for kerrygold![]()
Kepak, liffey,dawn,abp are very good meat processors, what they get up to a farm level is market manipulation, what they get up to a farm level can be basically disregarded as their motives are far from being in our best interests
I certainly am not pushing indoor beef systems, but with lads chasing tight margins they were left with no other option in many cases, indoor beef systems will only dramatically increase to facilitate what the market requires at present. I would prefer never have to put an animal indoors winter or summer but unfortunately regulation determines how I farm in these parts sadly, pitty the same regulation dose not apply to every other region that has access to our markets
its very accurateSaw this written today. I think it says a lot about us and Europe as a whole:
Its a funny aul world when...the EU threaten Ireland with carbon footprint fines....while seeking to open trade deals (cars for beef) with countries like brazil...that have between August 2015 and July 2017 cut down 14,517 SQUARE KILOMETRES of rainforest for agriculture use
With no grants to replant it and no annual subsidy will there be a forestry company to buy it? I don't know, I'm just asking.Didn't know what thread to post this in so lumped it here, move as required mods.
Local man that I'd be reasonably friendly with inherited some land from his recently deceased mother lately, took a few years to sort out probate for a number of reasons, circa 30 acres I think in mature sitka spruce forestry. Ready to be cut as such. In fairness to him, he went ahead and got felling license sorted quickly and wired into it, put in a road etc for access for the timber machinery. All cut in the last few weeks, couldn't tell you what he got for the timber as i didnt even ask but he was reasonably happy if you were to believe him which I'm not sure I do to be honest. He's now in the position where there is an onus on him to replant trees in it again even though he has no grants to get on it going forward after doing so. So basically if he replants as they would like him to, then he has no income to get from the land for the rest of his lifetime from what I can see, he's 50. It won't be ready to cut I'd guess while he's around unless he lives to be an old man. Is he as well off to sell the land this minute to a forestry company? He'll probably get as much for it now as it will yield in timber whenever it is cut again I'd guess, and he won't have to wait the bones of 30 years for it either. For clarity, the man has no family and would be relatively comfortable financially without being wealthy if that makes sense.
Personally I think his best bet is try sell it to some crowd like Intel etc who might want to buy land for carbon credits going forward. Forestry without grants is not a viable proposition in my bookWith no grants to replant it and no annual subsidy will there be a forestry company to buy it? I don't know, I'm just asking.
He would have gotten a fairly good price to sell the land with the timber standing on it. I can't see the land sale value being big. At 50, it might make a good tax free pension investment for him to replant it. Then in 20 years time he could sell it where it may be more valuable. Any investor will be including the cost of sale, cost of replanting and a good healthy margin into the purchase price.
With no grants to replant it and no annual subsidy will there be a forestry company to buy it? I don't know, I'm just asking.
He would have gotten a fairly good price to sell the land with the timber standing on it. I can't see the land sale value being big. At 50, it might make a good tax free pension investment for him to replant it. Then in 20 years time he could sell it where it may be more valuable. Any investor will be including the cost of sale, cost of replanting and a good healthy margin into the purchase price.