The beef trade continues to be dominated by strong factory appetite and high levels of throughput. Factory agents remain very active in sourcing cattle direct from farms and also through mart sales.
At the top of the market, regular sellers are securing a base of €3.90/kg for steers and €4.00/kg for heifers, with deals including allowances on transport costs also reported. The higher prices are easier to secure for heifers.
The greatest percentage of cattle are moving at a base of €3.85/kg for steers and €3.95/kg for heifers, with a wider differential to producers handling small numbers and possessing less negotiating power, who are trading in cases at a base of €3.80/kg and €3.90/kg respectively for steers and heifers.
These sellers should note the strength of the market and ensure they are getting the best deal possible. The prices above exclude breed bonuses, which range from 10c/kg to 20c/kg for Angus and Hereford stock.
Bulls
Bull prices are steady, with the general range of €3.85/kg to €3.90/kg for R grades and €3.95/kg to €4.00/kg for U grades. A flat-priced deal of €3.95/kg continues to be reported for mixed lots comprising mainly U grades.
Specialist finishers are securing 5c/kg to 10c/kg higher with numbers coming from specialist finishers growing. Bulls less than 16 months and trading on the grid are selling in the main from a base of €3.85/kg to €3.90/kg.
Cows
Cow prices vary significantly, with numbers on offer continuing to have a big influence on prices paid. Heavy well-fleshed R grading cows are selling from €3.50/kg to €3.55/kg, with 5c/kg extra going to those handling large numbers in cow-specialist plants, while the entry price is back to €3.40/kg to €3.45/kg in plants with lower interest in cows.
Likewise, fleshed O grading cows are selling anywhere from €3.25/kg to €3.40/kg, with P+3 grading cows starting at €3.00/kg to €3.05/kg and rising to €3.15/kg to €3.20/kg.
Stronger British trade
The British trade continues to build momentum on the back of stronger demand for the Christmas market.
The AHDB reports last week’s R4L heifer prices rising 3.3p/kg on average to £3.78/kg, which is the equivalent of €4.24/kg at Monday evening’s exchange rate of 89.2p to the euro and €4.47/kg including VAT at 5.4%.
The R4L steer price increased 0.5p to the same average price as heifers of £3.78/kg. Prices are running 7.5p/kg above the five-year average for this time of year.
Meanwhile ,R3 young bull prices are reported by the AHDB at an average of £3.61/kg (€4.27/kg incl VAT at 5.4%), up 1.9p/kg on the previous week. Cow prices have steadied, with O4L cows recording a lift of 0.7p/kg to £2.60/kg (€3.07/kg incl VAT).
The northern trade is also robust. U3- base steer and heifer quotes remain at a range of £3.52/kg to £3.54/kg (€4.16/kg to €4.18/kg incl VAT). Regular sellers are starting at a higher base, reflected in last week’s U3 steer price averaging £3.60/kg and heifer price averaging £3.63/kg.