Hopes fade for Christmas beef price rise

Any hope of a significant price rise ahead of the Christmas break is fading fast.

Some agents are reporting the opposite scenario, with more pressure on prices at the higher end of the market in recent days.

Sellers who were securing a base of €3.75/kg for steers or deals on transport or weight allowances are finding it more difficult to negotiate the higher steer base, with the majority of animals trading of a base of €3.70/kg.

There is slightly more life in the heifer trade with the majority trading at a base of €3.80/kg and still scope for those with greater selling power to secure a 5c/kg higher base.

Animals deemed out-of-spec for age or weight are, in some cases, facing price pressure, with a 5c/kg to 10c/kg lower base on offer. Animals deemed both overweight (450kg carcase weight upwards) and overage (over 36 months especially) are facing 10c/kg higher cuts.

Knock-on-effect

The pressure on steer and heifer prices is also being felt in the bull trade, with more numbers in the market easing competition. Bulls less than 16 months are trading in the main at a base of €3.70/kg. This excludes the 12c/kg quality payment scheme (QPS) bonus, where applicable.

Bulls aged less than 24 months continue to trade in the main from €3.80/kg to €3.85/kg, with R grades 10c/kg lower. Friesian bulls are trading from €3.55/kg for poorer quality O- grading bulls to €3.65/kg and even as high as €3.70/kg for large lots traded by specialist finishers.

Cows

Cow throughput has eased marginally, but still remains high with some dairy farmers milking empty cows longer. Cows coming straight from the parlour are selling for as low as €2.00/kg to €2.20/kg for very light carcase, poorly covered cows.

P2 grades are trading a little better, anywhere from €2.40/kg to €2.60/kg, with P+3 grades from €2.80/kg to €2.95/kg, while fleshed O grading Friesians are selling in general to €3.05/kg.

Specialist feeders can command 5c/kg to 10c/kg higher. R grades are trading from €3.15/kg to €3.25/kg, with U grades to €3.35/kg. Again, large numbers are moving in cow specialist plants for 5c/kg higher.