REWE boosts Austrian beef buying as banks offer drought loans

REWE will increase its purchases of Austrian beef by 20 percent, while several banks are offering interest-free bridge loans of up to 15,000 euros to farmers affected by drought, ORF reported on Monday. Farmers have welcomed the measures but question whether they will be enough.

REWE, which operates the Billa and Billa Plus brands, said it would also launch additional beef promotions and special offers for consumers. Spokeswoman Simone Höpke said the increased purchases were intended to benefit consumers as well.

SPAR, the market leader, currently has no comparable campaign planned, according to a statement. It said it would continue to focus on regional products such as Murbodner beef and Alpine oxen, without bringing forward slaughter dates.

Several Austrian banks have announced interest-free bridge loans of up to 15,000 euros to help farmers cover financial shortages caused by the drought. Herbert Schigan of Raiffeisenbank Gamlitz said the loans would be available until December 22, when important AMA agricultural payments are due to be made, allowing them to be repaid.

Cattle farmers have generally welcomed the measures but remain sceptical about their effectiveness. Martin Siebenhofer from Krakauhintermühlen said they would not be enough to ensure that farms survived.

“Many other factors also play a role, including how the market develops and how the harvest progresses into autumn,” Siebenhofer said. Despite recent thunderstorms, the dry meadows have received little relief.