IRISH beef producers could lose up to £20 million this spring if EU export refunds on beef and live cattle are not restored, an MEP has warned.
In a letter to the EU Agriculture Commissioner, Mr Franz the Munster Independent MEP, Mr Pat Cox, pointed that cattle prices in Ireland have fallen by £50 a head on a 700 kg bullock since the export refund cuts.
He argued that the Irish economy could not afford such a loss.
Export refunds compensatory payments for selling produce outside the EU have been cut by 36 per cent on beef and live cattle exports since September, causing a collapse in prices.
The Irish Meat Processors Association (IMPA) said last night that even to maintain cattle prices at their current level, export refunds would have to be raised by 24 per cent.
The IMPA's chief executive, Mr John Smith, said if the refunds were not increased by the EU Beef Management Committee in Brussels tomorrow there would be "major uncertainty" in the beef trade during February.
The Irish Farmers' Association Livestock Committee is to stage an all night vigil outside the EU Offices in Dublin's Molesworth Street from 5 p.m. this evening to highlight what it sees as a crisis in the industry.