St Merryn criticised for changing cattle spec at short notice

St Merryn Food Group has been criticised for failing to provide sufficient detail of changes to its cattle grading specifications until just two weeks before they come into effect.

2 Sisters, which owns St Merryn, is signed up to the voluntary beef processor code, in which signatories commit to giving at least 12 weeks’ notice of any changes to terms and conditions.

Producers were first told in October to expect changes, but no details were given until Friday 18 December.  

The new specifications will take effect from 4 January, bringing them more in line with other beef processors.

See also: Abattoir waste charge rise ‘breaches beef sector code’

The changes tighten St Merryn’s classification grid so more cattle are penalised for not meeting the retailer specification of 260kg to 400kg.

Then main changes will:

• Reduce the upper specification weight limit to 400kg and cap the weight allowed for all types of cattle at 420kg
• Add a 5p/kg penalty for cattle weighing between 400.1kg and 420kg
• Introduce a premium of 10p/kg for animals sired by a bull from a list of approved beef breeds. This will also be applicable to livestock born to dairy and suckler cows.

In an email to producers on 18 December, St Merryn Foods said the changes would mean “bigger premiums being paid on the type of cattle that our customers require” and so “greater deductions are being applied to the types of cattle which produce carcasses in lesser demand.”

John Royle, chief livestock advisor at the NFU, said: “We recognise that St Merryn wrote to their suppliers in October saying that they would be reviewing their payment grids, deductions and levies but unfortunately this did not contain any of the detail.

“Changes to weight limits to 400kg and capped at 420kg will impact on producers with cattle already in sheds with target weights in mind.  

“Farmers can’t alter production systems overnight, cattle will be with finishers targeted at the old spec, but will lose out seriously on the new spec – some suggesting a heavier R3L beast could be £65 worse off”
John Royle, NFU

“Farmers can’t alter production systems overnight, cattle will be with finishers targeted at the old spec, but will lose out seriously on the new spec – some suggesting a heavier R3L beast could be £65 worse off.

“We recognise that St Merryn have been strong supporters of the [beef processor] code  and we really thank them for that, but we ask that they defer these changes until March.”

“This also brings into question the value of the code.

“We strongly believe that it is needed to ensure farmers are treated fairly and have time to adjust their production systems. Perhaps the time is right to bring the code under the Grocery Code Adjudicator and for retailers to exert influence over their suppliers to ensure they sign up to the code and ask that they communicate clearly to British beef farmers.

This is the second time 2 Sisters has breached the voluntary code, after St Merryn Foods increased its waste disposal charges at short notice in April.

In November, major processor Dunbia, which is not signed up to the code, was also criticised for giving producers just two weeks notice of changes to its cattle specifications.

 2 Sisters or St Merryn were unavailable for comment.