Features
Challenges facing organic sheep production
With so many new entrants into organic farming it is important to focus on some of the issues that are worth considering from the point of sheep production. Leitrim Organic Farmers has been developing routes to market for livestock for ten years and it is proving most difficult to increase the market share for organic lamb. This has resulted in many producers either scaling down in numbers, selling directly or leaving altogether.
Sheep are an integral part of mixed farming in the west and midlands and have many benefits from an organic point of view. They are excellent pasture improvers and play an important role in rotations on many farms. I carried out a study of the sector in 2009 and there were some interesting outcomes from this. Based on a nationwide survey of all organic sheep producers the main issue that came out was the seasonality of production, with 55% of all lambs sold in the months of July, August and September with 30% alone sold in September.
Seasonal Production
The graph below shows clearly the seasonal nature of organic lamb production, and how this makes it very difficult to accommodate supermarkets with their year round requirements for organic lamb. Other trends that emerged showed that 37% of all lambs were sold to a conventional processor in 2006 and this had fallen to 24% by 2008. This was in line with a rise in numbers going to organic processors, which rose from 32% to 37%. Numbers sold to conventional marts dropped over the three years surveyed from 14% to 7%. Based on the good conventional prices in the latter part of 2010, I would expect that this will have been reversed.
Fifty-three percent of respondents cited distance from an organic outlet as a problem for selling their lambs organically. This was further borne out by the fact that 64% of organic lambs in Munster and 65% in Connacht were lost to the conventional market in 2008 whereas 90% of organic lambs were sold organically in Leinster. The presence of the two main organic lamb processors namely ICM and Good Herdsmen, operating through Kepak, Hacketstown, clearly had a major impact on the numbers sold organically in Leinster.
The survey also showed that 70% of store lambs were lost to the conventional market. This figure was greatly amplified by light mountain lambs where there is no organic market available currently.The numbers of lambs being marketed directly increased from 8% to 11% over the 3 years surveyed showing the trend for producers to butcher their own lambs for private customers.
No Branding
A number of conclusions emerged from the findings and one in particular was the lack of branding of Irish Organic Lamb and lack of differentiation from conventional lamb. The export market for organic lamb remains very difficult with the UK self-sufficient. Clearly there is a job of work to create a clear brand for Irish Organic Lamb. There is also the difficulty that without a critical mass of product coming to the market all year round, processors will not consider it as a serious market opportunity. The one bright spot in the survey was the increased numbers being sold directly by farmers and their level of satisfaction with this business.
A welcome recovery in sheep production in Ireland occurred in 2010. There are many reasons for this but clearly the collapse in sheep numbers both here and in the UK is a contributory factor. It is important that organic producers also benefit from this recovery. Leitrim Organic Farmers Co-op represents many organic sheep producers that are pondering the future direction of this sector. We welcome all contributions to the discussion and we will continue to work with other parties who are serious about developing Irish Organic Lamb as a premium meat product on both the export and domestic market.
Gillian Westbrook has been appointed to the new position of
General Manager with IOFGA. Coming from a background in the regulatory area...
