The dry weather earlier this year has caused a near drought on Irish farms which is forcing beef farmers to sell their stock, resulting in them receiving less for their animals.
The low rainfall levels since March has also led to crop damage and restricted growth of cereal crops, and grass in particular. Figures issued by the Irish Meteorological Service earlier this week showed Soil Moisture Deficit (SMD) showed that most of the country was experiencing difficulties, with the exception of north Donegal and south Kerry.
The SMD for Rosslare was measured at 74 mm, which is only one millimetre short of "near drought or drought conditions".
Most of the Met Stations recorded deficits of between 50-70 mm indicating "growth increasingly restricted" on the SMD scale.
In its weekly tillage crop report, Teagasc, the agriculture and food development authority, said that while the recent rain had helped alleviate symptoms from water stress in potato crops, it was a little too late for crops in lighter soils.
Mr John O'Leary, chairperson of the Irish Creamery Milk Suppliers Association's beef and cattle committee, accused the beef factories of attempting to "pull" prices down without justification. "In the last fortnight, the prices we have been getting have been falling away below the €2.80/kg, we need to receive to stay in the business," he said. "At some factories the price has been dropped by up to €100 per animal, despite the fact there is a steady market demand," he said.
He said that in the eastern part of the country on drier farms, poor grass growth was forcing some farmers to sell their cattle but this did not justify the fall in the prices being offered.
He urged farmers to resist any attempt to reduce price.
He said despite recent heavy rainfall, it would take a considerable amount of time before full grass growth would resume.
He said while most farmers wanted to see prices remain high, he believed that any fall in the price farmers received, should also be reflected in the price the consumer was paying.
"We have not seen that happen in recent times. It is one of the great mysteries."