Irish beef processing is controlled by three large groups – ABP, Dawn and Kepak. The same groups dominate the trade in Britain as well. There were no major ownership changes in 2019, though it was the first full year of Kepak re-entering the business in Britain having exited over a decade ago. These groups also dominate the top positions in the 2019 price tables across all of the 16 categories of cattle examined by the Irish Farmers Journal.
However, when it comes to the gold medal positions, two independent standalone factories dominated, taking 11 of the 16 top spots between them. Jennings in Ballinrobe, which slaughters only steers and heifers, took seven out of the eight top positions available and was runner up in the other category. Foyle Donegal took four top spots, one second and three thirds. Foyle Donegal also has two factories in the North and two more in Britain.
Three other factories outside the main groups got into medal positions. Ashbourne Meats, always a strong buyer of good cows, secured a second place for U=3= cows. Kildare Chilling secured a third place for R=3= cows and a credible sixth place, up from 11th, for O=3= cows. Liffey Meats secured a second place in the R=3= category of cows.
It always has to be emphasised that for the extreme grades, very few cattle are killed, with the biggest volumes of cattle in the R3 steer, heifer and young bull categories
ABP
When the three big factory groups were assessed, ABP came out on top for the top three quality grades and dropped down to third when it came to the P+3s. The exception to this was for P+3= cows where ABP was the top payer. This tells us that ABP in general pays the strongest prices when it gets what it wants, though Kepak came pretty close for heifers.
Another feature of ABP is how it focuses the slaughter of different types of cattle into specific factories. For example, the ABP Bandon factory is in the top three position for three categories of steer, while it is at the bottom of the table for good-quality cows. It is seventh for plain P+3= cows, which is probably because the factory is in a major dairy region.
ABP has a strong UK supermarket and food service business and decades of international market development. Its Polish factories give a strong presence in Europe. It is in a strong position to do business in China also, having established a base there several years ahead of the market opening.
Dawn
For several years Dawn was off the pace when it came to buying prime beef and while it only tops the group table for plain P+3= steers, it has improved in other categories. Prior to the acquisition of Dunbia, its core business was burger supply, with McDonald’s the key customer. Dunbia is focused on the UK supermarket business for beef and lamb and Dawn has retained the Dunbia identity for its UK businesses.
The Dawn Ballyhaunis factory has jumped eight places in the O=3= steer category compared with 2018, while the Grannagh factory has also jumped eight places in the U=3= heifer table. The link with Dunbia has strengthened Dawn’s presence in the supermarket trade. This complements its already established burger business.
While its Slane factory, which had been part of the Dunbia group, is one of the few Irish factories not approved by China, Dawn has ambitions to develop significant business in China and this requires prime under-30-month beef.
Kepak
Despite Kepak bringing its specialist heavy young bull business to a close in 2019, it remain the top-paying group when it comes to buying young bulls, topping three of the four categories. It is also a long-established burger manufacturing company but its acquisition of the 2Sisters factories in Britain in 2018 now gives Kepak a strong presence in the UK retail sector as well. It has also succeeded in developing the John Stone brand as a premium steak and made headlines in 2018 with its flexi-burger containing a mix of vegetable and meat being a prize winner at the Anuga trade show.
Independents
For comparison purposes we have grouped all factories that are not part of the big groups as independents but there isn’t an independence alliance as there is in politics. We have already highlighted how two factories, Jennings and Foyle, dominate the table, and Kildare, Ashbourne and Liffey did get into the top three positions. However, the standalone factories are towards the bottom of the table in most cases.
This suggests that they are the worst-paying factories but that is an oversimplification. Where farmers are selling cattle that don’t push the specification buttons, they tend to get cut severely in many of the top-paying factories. Factories outside the big groups won’t have listings with the major UK supermarkets and are therefore much more flexible on specification meaning that farmers with out-of-spec cattle can do as well if not better here than they would in factories at the top of the table.
These factories are also approved for China and it is no coincidence that they are strongest in the cow trade
Moving up ?
Dawn Ballyhaunis: 12 to 4Kepak Clare: 16 to 6Dawn Granagh: 11 to 3Kepak Clare: 13 to 2, R3 young bullsABP Rathkele: 23 to 4, O=3=cowsABP Clones: 15 to 4, P+3 cowsLiffey Ballinasloe: 14 to 4 U=3=cowsMoving down?
Kepak watergrass hill: 2 to 17 U=3= steersKepak Clonee: 6 to 18, P+3= heifersDawn Ballyhaunis: 9 to 22, U=3= heifers Read more
Revealed: factory beef price gap of up to €150/head
Irish beef processing is controlled by three large groups – ABP, Dawn and Kepak. The same groups dominate the trade in Britain as well. There were no major ownership changes in 2019, though it was the first full year of Kepak re-entering the business in Britain having exited over a decade ago. These groups also dominate the top positions in the 2019 price tables across all of the 16 categories of cattle examined by the Irish Farmers Journal.
However, when it comes to the gold medal positions, two independent standalone factories dominated, taking 11 of the 16 top spots between them. Jennings in Ballinrobe, which slaughters only steers and heifers, took seven out of the eight top positions available and was runner up in the other category. Foyle Donegal took four top spots, one second and three thirds. Foyle Donegal also has two factories in the North and two more in Britain.
Three other factories outside the main groups got into medal positions. Ashbourne Meats, always a strong buyer of good cows, secured a second place for U=3= cows. Kildare Chilling secured a third place for R=3= cows and a credible sixth place, up from 11th, for O=3= cows. Liffey Meats secured a second place in the R=3= category of cows.
It always has to be emphasised that for the extreme grades, very few cattle are killed, with the biggest volumes of cattle in the R3 steer, heifer and young bull categories
ABP
When the three big factory groups were assessed, ABP came out on top for the top three quality grades and dropped down to third when it came to the P+3s. The exception to this was for P+3= cows where ABP was the top payer. This tells us that ABP in general pays the strongest prices when it gets what it wants, though Kepak came pretty close for heifers.
Another feature of ABP is how it focuses the slaughter of different types of cattle into specific factories. For example, the ABP Bandon factory is in the top three position for three categories of steer, while it is at the bottom of the table for good-quality cows. It is seventh for plain P+3= cows, which is probably because the factory is in a major dairy region.
ABP has a strong UK supermarket and food service business and decades of international market development. Its Polish factories give a strong presence in Europe. It is in a strong position to do business in China also, having established a base there several years ahead of the market opening.
Dawn
For several years Dawn was off the pace when it came to buying prime beef and while it only tops the group table for plain P+3= steers, it has improved in other categories. Prior to the acquisition of Dunbia, its core business was burger supply, with McDonald’s the key customer. Dunbia is focused on the UK supermarket business for beef and lamb and Dawn has retained the Dunbia identity for its UK businesses.
The Dawn Ballyhaunis factory has jumped eight places in the O=3= steer category compared with 2018, while the Grannagh factory has also jumped eight places in the U=3= heifer table. The link with Dunbia has strengthened Dawn’s presence in the supermarket trade. This complements its already established burger business.
While its Slane factory, which had been part of the Dunbia group, is one of the few Irish factories not approved by China, Dawn has ambitions to develop significant business in China and this requires prime under-30-month beef.
Kepak
Despite Kepak bringing its specialist heavy young bull business to a close in 2019, it remain the top-paying group when it comes to buying young bulls, topping three of the four categories. It is also a long-established burger manufacturing company but its acquisition of the 2Sisters factories in Britain in 2018 now gives Kepak a strong presence in the UK retail sector as well. It has also succeeded in developing the John Stone brand as a premium steak and made headlines in 2018 with its flexi-burger containing a mix of vegetable and meat being a prize winner at the Anuga trade show.
Independents
For comparison purposes we have grouped all factories that are not part of the big groups as independents but there isn’t an independence alliance as there is in politics. We have already highlighted how two factories, Jennings and Foyle, dominate the table, and Kildare, Ashbourne and Liffey did get into the top three positions. However, the standalone factories are towards the bottom of the table in most cases.
This suggests that they are the worst-paying factories but that is an oversimplification. Where farmers are selling cattle that don’t push the specification buttons, they tend to get cut severely in many of the top-paying factories. Factories outside the big groups won’t have listings with the major UK supermarkets and are therefore much more flexible on specification meaning that farmers with out-of-spec cattle can do as well if not better here than they would in factories at the top of the table.
These factories are also approved for China and it is no coincidence that they are strongest in the cow trade
Moving up ?
Dawn Ballyhaunis: 12 to 4Kepak Clare: 16 to 6Dawn Granagh: 11 to 3Kepak Clare: 13 to 2, R3 young bullsABP Rathkele: 23 to 4, O=3=cowsABP Clones: 15 to 4, P+3 cowsLiffey Ballinasloe: 14 to 4 U=3=cowsMoving down?
Kepak watergrass hill: 2 to 17 U=3= steersKepak Clonee: 6 to 18, P+3= heifersDawn Ballyhaunis: 9 to 22, U=3= heifers Read more
Revealed: factory beef price gap of up to €150/head
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