Stay Informed with Cattle Weekly brings a clear, practical snapshot of what moved the beef market this week and why it matters on-farm.
Australian beef prices climbed sharply since early July, led by slaughter grades as global demand lifted and US supply tightened. Exports to the US are up about 27 per cent year to date and shipments to China climbed strongly, supporting local values.
Southern processors, with healthy margins, have been drawing kill-ready stock from the north. That competition has firmed prices while tightening local supplies in some regions.
Restocker interest is mixed across south as seasonal uncertainty hangs over decisions. This article distils market insights into practical information so producers can time sales, assess grid offers and set realistic price targets.
Key Takeaways
- Global beef demand and lower US output are driving higher market prices.
- Exports to the US and China have lifted volumes and underpinned values.
- Southern processor demand is tightening supplies and supporting slaughter rates.
- Restocker activity varies across south due to patchy seasonal conditions.
- Producers should watch export orders and local indicators this week to time sales.
Executive overview: key market movements from last week
Supply gains from Queensland and northern NSW met firm offshore demand, shaping last week’s trade.
At a glance: prices, demand, and supply shifts
- Yardings: National yardings eased about 7% to 85,413 head in the comparable week.
- Processor cow: The National Processor Cow Indicator fell 22c to 164c/kg lwt after a Wagga surge lifted numbers.
- Feeder steers: The National Feeder Steer Indicator eased 10c to 376c/kg lwt while feeding margins remained workable.
- Exports: Australian beef shipments to the US rose ~27 per cent year to date and to China about 51 per cent to July.
What drove the latest market across Australia
Steady processor demand and larger northern turnoff were the main drivers. Southern processors stayed active up north to fill kill space, which kept slaughter volumes competitive.
Offshore buying from the US and China cushioned price falls when numbers lifted. Short-term lower fed kill in the US also supported import demand and kept local values more resilient.
Temporal context: market signals from the past week
Values broadly consolidated in late September as the season tightened and more cattle entered the system. The Wagga event shows how a single yarding spike can move the processor cow indicator sharply.
Takeaway: Watch processor grids and the processor cow indicator in weeks when numbers surge, and track feeder spreads as grain and contract prices adjust.
Cattle weekly: national market pulse and indicators
Price signals through July into late August showed broad gains, with heavy steers and processor cow values leading the move.
Price action and indicators
State snapshots point to varied strength. NSW heavy steer sat near 436c/kg lwt while restocker bids hit 503c. Queensland and SA showed similar lifts, and feeder steer indicators stayed supported by better feeding margins.
Throughput and slaughter
National cattle slaughter in the week ending 2 May rose 84 per cent to 144,226 head. YTD kills are about 9 per cent above last year, driven by higher Victorian throughput.
Demand vs supply
Lower US head week figures have tightened global beef production and helped underpin local floors. Export orders into the US and China are supporting processor demand while local yardings and seasonal numbers still shape short-term supply swings.
- Takeaway: track the indicator chart shows and head week trends when timing sales.
Slaughter cattle in focus: heavy steers and cows set the pace
Competition for kill-ready stock rose sharply, sharpening prices for heavy steers and cows.
Heavy steer values: competition from southern processors and tight availability
Southern bidders collected lots from northern pens, tightening availability and lifting heavy steer returns. Processors ran near full capacity, so demand for finished lots stayed firm through the week.
Processor cow outlook: manufacturing beef, lean trim and tightening local supplies
Manufacturing beef remains at record levels, supporting stronger processor cow offers. Local cow supplies will tighten as northern turnoff winds down into year’s end.
Global drivers: US demand strength, China import pull and lower US production
US fed kills last week were about 12 per cent below year-ago levels, staying under 440,000 head. That lower production and strong offshore cut-out values boost import demand and help underpin Australian lines.
“Bring finished cattle forward when southern processors are bidding in the north,” a market adviser said.
- Practical: consider multiple grids for cow sales and time heavy steers when southern interest is visible.
- Watch the chart shows of cattle slaughter and export quotes for near-term pricing signals.
Feeder and restocker dynamics: margins, weather and buying appetite
Feeder markets tightened this past week as lower grain costs and active lotfeeding pushed demand for store lots.
Feeder steer pricing saw Angus lines at about $5.20–5.30/kg lwt. European cross animals traded near $4.30–4.40 and flatbacks around $4.20–4.30.
Grain costs fell $30–$40/tonne and contract grids firmed toward $9/kg cwt. That combination improved feeding margins and kept lotfeeders competitive.
Restocker sentiment and season risk
Restocker bids pushed lighter stock into the mid-to-high $5/kg lwt, but activity cooled as weather and feed reserves looked uncertain across south.
Producers holding near-spec feeders should weigh a near-term sale before northern supplies widen. Southern processors still draw suitable lots into slaughter grids at times, so compare grid offers carefully.
- Practical: secure agistment or smaller lines if restocker confidence is low.
- Watch weather windows, feed costs and sale calendars to avoid crowded auctions.
State-by-state wrap: prices and activity across the south and north
State snapshots show how local yardings, weather and buyer competition set the pace for prices and movement this week.
New South Wales
Indicators held steady in NSW with a heavy steer around 436c/kg lwt and a processor cow near 363c. Feeder and restocker bids were firm — restocker at 503c and feeders about 493c as black EU feeders hit $5.50/kg lwt on tight supply.
Practical: supermarkets lifting contract rates into the high $8s to low $9s/kg cwt is keeping program options viable for sellers.
Queensland
Yardings remained large at Roma and Charters Towers. Best bullocks traded near $3.66/kg lwt while delivered southern rates sat around $3.60–$3.70/kg lwt.
Feeder competition on the Downs pushed some lines to 426–479c; rain around Injune briefly slowed turnoff but did not ease slaughter demand.
South Australia
Young cattle showed a clear heartbeat after rain. Indicators lifted: heavy steers about 469c and processor cow near 385c. Little black steers topped $6/kg lwt and heifers traded over $5/kg.
Tasmania
Powranna yarded strong numbers with heavy steers near $5–$5.50/kg lwt and lighter calves at $7–$8/kg. Over-the-hooks programmes paid about $8.40/kg cwt for yearlings and $7/kg cwt for cows.
- Across south, grass gains lifted restocker activity where feed improved but overall supplies stayed tight enough to support values.
- Use state indicators and yarding numbers to set a sale plan and pick the route—saleyard or direct—where competition is deepest.
External factors shaping the week: weather, currency and commodity markets
Weather and currency combined to set the trading tone this week. Little rain fell across most districts last week, apart from parts of eastern‑central Victoria.
Soil probes show roughly 30 per cent moisture in many southern paddocks and usage near 10 per cent a week. That falling moisture will cap pasture growth across south and may bring some store stock forward.
Weather and season
Hot, dry conditions in Queensland are pushing numbers toward sale as feed quality slips. Larger turnoff is likely through Queensland and northern NSW in the coming head week.
Australian dollar and commodity markets
The AUD eased to the mid‑65 USc range. That supports export returns and helps cushion local prices while pulses of supply change processor buying.
- Across south: limited rain tempers restocker appetite and limits pasture recovery.
- Grain & commodity markets: stable grain after recent falls keeps feeding margins workable.
- Wool: a stronger EMI (1453 Ac/kg) adds confidence to broader livestock values.
- Practical: lock transport on hot days, review feed budgets and keep buyers updated as grids shift.
Conclusion
Producers face a market where export pull and local supply shifts set the tone into the year. Strong offshore demand, lower US production and solid processor margins support slaughter demand and steady prices.
Feeder lines remain underpinned by workable feeding margins, though increased northern turnoff may limit sharp gains. Restocker activity depends on southern season breaks; patience often pays unless spring lifts feed and values quickly.
Bottom line, combine the contained article data with local agent advice and paddock checks. Use this article as benchmarking information contained to time sales, compare grids and book slaughter space early.
