The latest beef market update is in, and it looks like there’s some good news for cattle farmers across Australia. With processors increasing their base price quotes by up to 10c/kg for prime cattle, things are looking up in the industry. This positive movement comes amidst large weekly kills of cattle, with over 41,000 head processed last week. But despite the high numbers, procurement staff are still scrambling to fill bookings, indicating a supply-demand dynamic that works in the farmers’ favour.
Factory Quotes: Heifers and Steers
On the grid this week, steer (bullock) quotes have reached €5.10/kg, while heifer prices are sitting at €5.15/kg. Some outlets are starting slightly lower, but the top end of the price scale sees steers and heifers being quoted at €5.15 and €5.20/kg, respectively. And if you’re in Co. Donegal, there’s a weight bonus of 10c/kg available for steers and heifers in the 300-400kg range, pushing prices up to €5.25/kg and €5.30/kg.
Cow Price
The cow market hasn’t seen much movement at the top end, but lower-paying outlets have raised their prices. Here’s a breakdown of the weighted average prices paid for cows in c/kg including VAT for the week ending October 13:
- Fat Score 1: E: 510, U: 466, R: 418, O: 318, P: 326, Weighted Average: 326
- Fat Score 2: E: 530, U: 507, R: 488, O: 457, P: 415, Weighted Average: 430
- Fat Score 3: E: 521, U: 509, R: 491, O: 461, P: 442, Weighted Average: 460
- Fat Score 4: E: 530, U: 501, R: 488, O: 459, P: 447, Weighted Average: 467
- Fat Score 5: E: 505, U: 484, R: 457, O: 453, P: 474, Weighted Average: 474
U grade cows are currently being quoted at €5.00-5.10/kg, with R grade cows fetching €4.80-4.90/kg. O grade cows are priced at €4.50/kg, while P grade cows are going for €4.40/kg.
Bulls
Under-24-month bulls have seen an increase in price quotes this week, with U grade bulls commanding €5.30-5.35/kg and R grade bulls being quoted at €5.20-5.25/kg. O grade bulls are going for €5.10/kg, while P grade bulls are priced at €5.00/kg. For under-16-month bulls, prices are sitting at €5.05-5.10/kg on the grid. Some farmers are even securing better rates from factories by presenting well-finished bulls, showcasing the rewards of quality.
Conclusion
To sum it up, the current factory quotes indicate a positive trend for cattle farmers, with processors increasing their base price quotes for prime cattle. Despite the high weekly kills, demand remains strong, and prices are on the rise. With heifers, steers, cows, and bulls all showing positive price movements, it’s a good time for farmers to make the most of the market conditions. So, if you’re in the cattle business, now might be the perfect time to seize the opportunities available and make the most of the bullish market.
