20-day rule breaches feared

Traceability may be in doubt as farming lobbyists battle the 20-day rule prohibiting movement of livestock off a farm if animals have been brought on to the holding in the preceding three weeks. Producers’ spokesmen claim it will make the traditional seasonal replacement of fatstock for meat production by younger animals for overwintering near impossible on many farms in the autumn. Critics point to relatively low numbers of stock passing through live auctions as evidence of the rule already disrupting the supply chain. Allegedly, farmers are beginning to ignore the rule, shifting stock illegally. If true, this means traceability assurances will be unreliable.

 

It’s the supply side’s turn

A crucial difference between the FMD crisis and the BSE disaster is emerging: instead of fearing a permanent contraction of consumer demand, this time round the industry is frightened by the possibility of irreversible supply shrinkage. DEFRA production data illustrated in the chart show almost unprecedented simultaneous drops in the UK output of beef, sheepmeat and pigmeat. The main reason for production falling so sharply last year was the array of controls. However stock culled during the crisis included large numbers of breeding animals, and their potential replacements at a time when the national cattle and pig breeding herds and the breeding sheep flock were already contracting anyway. Among the implications is doubt as to the future viability of many slaughtering plants and other processing facilities dependent on supply of livestock from British farms.

 

Vaccination: We did not lobby’

The British Retail Consortium has told the European Parliament it put no pressure on the government on whether to vaccinate during the foot and mouth outbreak. BRC director-general Bill Moyes told the EU FMD inquiry: “It is important to emphasise that at no time did retailers lobby either for or against vaccination.” Two weeks ago former agriculture minister Nick Brown told the inquiry opposition from food retailers was the main reason the government decided not to vaccinate. But Moyes disagreed: “The BRC made it clear the decision on whether or not to vaccinate was entirely a matter for the government, and so long as public confidence was maintained retailers would stock dairy products from vaccinated herds.”

 

Live markets reopening

Livestock auction markets have begun reopening in England and Wales as the authorities continue relaxing anti-FMD controls. Auctions are seen as essential for restoring stability, price transparency and supply predictability to the overall market. But the sales and movement of animals are still subject to tight restrictions ­ certain to distort slaughter stock supply and impede rebuilding for many months.

 

Buyers’ price concern as cattle released

Further relaxation of FMD livestock movement restrictions has been announced by DEFRA, offering processors and retailers the prospect of faster improvement in raw material supply. However, some buyers are expressing concern at the price effects of DEFRA’s moves, and the “small print” is less encouraging. Abattoir operators reckon the limited reintroduction of livestock auctions already under way in Scotland has made some cattle and sheep too expensive, and fear the same could happen in the south. This, of course, is precisely why farmers have welcomed the DEFRA concession on auctions. Producers believe live sales encourage stronger competition than direct deadweight transactions and boost prices by letting demand for store animals needing further feeding spill over into the fatstock trade.

 

20 day rule frustrates

Monday’s announcement by Defra of anti-FMD measures being relaxed in three of the last four counties considered still at risk of the disease, and the earlier suggestion by ministers that many livestock markets should be able to reopen in mid February, provoked criticism from some industry sources. In private, farming and meat industry spokesmen express frustration at the official insistence on maintaining the 20-day rule’. This measure prohibits the movement of stock off a farm if animals have been brought onto the land within the past 20 days, the intention being to make it likely any cases of FMD among the newcomers will be visible before the disease can be transmitted to other agricultural premises. Critics claim this restriction has been imposed by bureaucrats who do not comprehend the realities of British livestock production. Loudest protest has come, as usual, from the militant National Beef Association: “This rule will make it impossible to run mixed stock grass farms.” The opinion is shared, quietly, within the more moderate NFU and in the slaughtering industry. Beef and sheepmeat are produced in this country mostly from mixed enterprises, typically needing frequent movement on and off farm of breeding, store and finished stock. Producers and processors opposed to the 20-day rule argue its effects will include denying slaughterers and retailers access to cattle and lambs when the animals are in optimal carcase condition.