The Irish agriculture industry "can live with" one case of variant CJD but would be concerned about further cases, according to beef industry sources.
While it would have been devastating for the industry had there been a case in Ireland three or four years ago, when concerns about BSE - mad cow disease - were at their highest, beef consumption is now higher than it was before the BSE crisis, according to industry sources.
The vast majority of BSE cases occurred in animals born before 1997, when a total ban was introduced on the use of meat and bonemeal as a farm animal feed.
Farmers would be greatly concerned if there were further cases, but "Ireland can live with one case", according to the sources. However, they also pointed out that there was strong competition from countries such as Argentina and Brazil.
As medical personnel investigate the suspected case of vCJD, the human form of BSE, in a patient in his early 20s, the Irish Farmers' Association said Irish farmers operated "in the most regulated regime in the world".
A spokesman said the suspected case "is a tragedy for the young man and his family", adding that "the IFA is waiting for the final outcome of the investigation, but at this stage it is an issue for the regulatory authorities".
Labour's agriculture spokeswoman, Dr Mary Upton, said she was "very disappointed and shocked that it has occurred but I am not really surprised".
Dr Upton, a microbiologist' believes there will be further cases of vCJD but said "there isn't any crisis because nothing really unexpected has happened and it would be wrong to imply there was a crisis".
She reiterated a call she made during a Dáil debate almost four years ago, that the Government should compensate families affected by vCJD and set up a trust fund for any future cases.
She also pointed out that "we still have animals born with BSE, post the ban in 1997. Every resource should be put in place, and every avenue should be put in place to find out the reason for these cases.
"It is a very small number but why are they still happening? It could be residual meat and bonemeal - all it takes are absolutely minute traces."
The Department of Agriculture said those resources were in place and very detailed epidemiological investigations and record searches were carried out in cases of BSE, including tracing all animals that were ever in the herd, where the feed was sourced and checks of feed silos.
"The small number of confirmed BSE cases in animals born after 1996/97 is consistent with epidemiological situations in other member-states and was predicted. There is no basis for suspecting that these isolated cases are indicative of either a systematic failure in controls or a deviation in the overall trend in relation to BSE," the Department added.
It said that all the indications were that BSE would "wash itself out of the system" over the next couple of years, and that "the controls that have been put in place are working".
Controls introduced in 1996/97 include ante- and post-mortem tests on all animals by an official vet, the removal at slaughter of all tissues that if infected could present a risk of infection, and all carcasses of animals over 30 months are tested for BSE.
Irish beef remains banned in a few Gulf states, but "even if they opened up now it is doubtful we could supply them because demand is so high in all our major markets", according to the IFA.
Just three weeks ago Algeria lifted its ban on Irish beef, while demand for Irish beef is very high in all main markets like the EU including France and Spain, as well as Russia, Libya and Egypt. Beef from the UK and Portugal is still banned in some markets.
The EU Commission's scientific status committee which regulates farming says the Irish industry is "optimally stable", the highest category of effective control.
There have been 1,459 cases of BSE in Ireland with the numbers dropping to 104 cases so far this year, compared to 167 for all of last year and 268 in 2002. Ireland and France are the only countries which kill all animals in a herd when there is a case of BSE, a practice farmers have opposed.