Irish beef farmers who are exporting their best-quality stock to Continental countries were warned yesterday that they should hold on to them and prepare them for the market themselves.
The warning came from Mr Philip Lynch, chairman of An Bord Bia, the Irish Food Board, at the publication of the annual trade figures in Dublin yesterday.
These showed growth of 10 per cent in volume to half a million tonnes, on the back of record disposals of cattle.
Mr Lynch said that some of our best young stock was being exported to France and Italy, where it was being finished. It would be far better for the industry if these animals were kept here and finished for the export markets.
"The challenges facing the industry should not be underestimated and must be properly understood. Co-operation between the various parties in the industry is required to solve our problems," he said.
"We have to produce what the market wants in terms of product specification and quality. Producers need to be paid accordingly, with graded prices."
He said the board's market development strategy stresses the need to sell more beef in Europe, but there was still a surplus of beef there and consumers were becoming increasingly nationalistic.
Mr Michael Duffy, the chief executive of Bord Bia, said sales of Irish beef to the Continent had recovered strongly and a 40 per cent growth had been achieved.
The pro-domestic stance of some UK multiple retailers had resulted in an 11 per cent reduction in Irish beef exports to the UK.
He said 1999 could present an opportunity for Irish beef exports because European production had fallen.
He predicted a difficult spring for lamb producers because of the carrying over of stock on the British market. It would take a recovery in the market for lambskins, which fell from £10 to under £1 each when the Russian market collapsed, to help prices recover.
He predicted a fall in Irish pigmeat supplies from the second quarter of this year, and said this should help ease pressure on prices.