Budget 2027 should address what a farm organisation has called the “underpowered, underfunded and unambitious” Dairy Beef Welfare Scheme.
Irish Creamery Milk Suppliers' Association (ICMSA) livestock committee chairperson, Michael O'Connell, pointed to the fact that the annual budget of €6.25 million has - for the second year – not been fully taken up.
In total, over €5.98 million has commenced issuing to some 9,175 participating farmers, supporting 299,839 dairy beef calves.
"The fact that not all the allocated annual budget was taken up means that farmers have decided that it’s not worth the hassle of applying for a small payment of €20 per calf," O'Connell said.
He added that, even then, they must "meet a number of conditions in terms of genotyping and star ratings".
The ICMSA continued: "We urge farmers who applied for the scheme in 2025 but didn’t meet the eligibility criteria to remain part of the scheme because the eligibility criteria might suit their 2026 calves better.
"There might also be farmers who didn’t apply at all in 2025, but who could meet the eligibility conditions for the two remaining years, and we’d urge them to consider it.
"We do think it’s important that all the budget for this potentially very significant scheme is taken up."
O'Connell said that with the major changes in calving pattern, use of sexed semen and more emphasis on beef-bred sires and commercial beef value selection, there is a "greater chance" for farmers to have eligible calves in 2026 and 2027.
“The point here is that even if an applying farmer turns out to have no eligible calves, no penalty applies," he said.
Acknowledging the contribution of both the Dairy Beef Welfare Scheme and the Dairy Beef Weighing Scheme, O’Connell said it is "important that all eligible farmers apply for and receive the payments to which they are entitled".
“Whether they are the breeder of the calf or the rearer of the calf, we think eligible farmers should apply for the payments," he said.
"Calf-to-beef systems have become very specialised, and that can involve a slow return on investment due to the timeframe between buying calves and time of slaughter.
"That’s precisely why the provision of these additional - but still notably inadequate funds - are important as we try to build a meaningful calf to beef system."
Both schemes are a "starting point towards a meaningful scheme" which ICMSA will be advocating for in Budget 2027, O'Connell said.
"ICMSA believes that a single, worthwhile dairy calf to beef scheme which includes both breeders and rearers to be incorporated with additional funding allocated this autumn is the way we should be proceeding," he said.
With beef prices hitting an "all-time high" in spring 2025 through to early 2026, some farmers have made a move towards rearing calves as a means of stretching their budget to maintain stock numbers, according to the ICMSA.
These farmers need a "meaningful direction of travel with this system" and what O’Connell described as a “paltry and token payment” of €20/head is "not going to be enough of incentive for these farmers to continue in this business".
“This spring, we have seen calf prices double meaning the outlay of money in a rearing system is further stretched," he said.
"Financial aid is extremely important for this system but €20/head is simply inadequate as it wouldn’t buy half a bag of milk replacer.
"Budget 2027 should make an additional allocation to dairy beef schemes so that the promise and potential that’s clear to see in this sector can be built on."