Asba Meats, based in Shannon, Co. Clare, has confirmed that delayed payments for all farmers will be completed by September this year.

The Irish Farmers’ Association (IFA) has expressed concern about delays in payments that have been occurring for several months.

Clare County IFA chairman Stephen Walsh said the payment delays were “worrying and appear to be persistent”.

He said there are some cases where farmers wait up to six months to receive payments.

Tareq Khan, a senior executive at Asba Meats, said there are “two main reasons” for the current delays.

He said the company was hacked towards the end of March this year, causing disruptions in payments for two to three weeks.

Khan said this caused a cash flow issue as Asba Meats was unable to pay the farmers, however the company has since recovered and these farmers are now on a “priority list”.

He said Agriland that there are fewer than 12 farmers still awaiting payment as a result of the delay.

Khan added that there are other occasions when irregular suppliers contact the company with an “emergency situation” where the farmer had to slaughter a cow.

He said that sometimes in these scenarios, farmers do not provide payment details.

Since May, Asba Meats has developed a new policy to avoid these situations, whereby any farmer who wants to supply the company must first register and receive authorization.

Khan said it was “frustrating” to hear “exaggerated” reports of late payments, and said Asba Meats had never had situations similar to this in the past.

IFA president Walsh said the association had pointed to “cash flow pressure” created by failure to pay farmers in the past.

“The company has said there will be some delay, but it’s taking too long,” Walsh said.

Walsh warned farmers to “think very carefully before engaging with Asba Meats” and said farmers should “insist” on payment on the day.