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The mart trade is definitely the brightest positive in the beef trade, with agents purchasing for factory feedlots and specialist finishers very active for cattle on the point of slaughter and short-keep stores.
There is good demand for all breed types, but a noticeable aspect of the trade is stronger demand for quality assured (QA) stock which will require a shorter residency on the purchasing farm.
Building supplies
Reports suggest factories are building supplies as a back-up should numbers tighten as forecast from late March onwards.
Demand is being helped by growing demand from farmers purchasing for summer grazing systems.
Meanwhile, the beef trade continues largely in the same vein, with the exception of a few specialist finishers who are moving bulls a bit easier.
This is creating an even wider differential in bull prices.
Price cuts
U grading bulls are trading anywhere from €3.50/kg to €3.70/kg for bulls weighing in the region of less than 430kg to 440kg.
Some plants are allowing small numbers above this range without implementing further price cuts, while others are still working to a system of 10c/kg to 20c/kg cuts for heavier carcases weighing 480kg to 500kg plus.
R grading bulls range from €3.40/kg in plants with little interest in the bull trade to €3.55/kg to €3.60/kg at the top of the market.
Reports point to producers continuing to struggle to get Friesian bulls drafted before hitting 24 months of age.
Good O grading bulls range in general from €3.30/kg to €3.40/kg, with a little more in places for traditionally bred O+ grading bulls.
Plainer-quality bulls are being quoted a price of €3.20/kg to €3.30/kg on average.
No movement
There is no movement in steer and heifer prices, with the base remaining on €3.75/kg and €3.85/kg respectively.
Cow prices have hardened in some plants, with the mart trade continuing to be a better outlet for many farmers with low numbers of young fleshed cows and facing difficulties negotiating on price.
P+3 grading cows range from €2.65/kg to €2.70/kg on average, with O grading cows from €2.75/kg to €2.90/kg - a 5c/kg increase in places. There is a similar story on R grading cows, with prices ranging from €3.00/kg to €3.20/kg. Top prices for U grading cows are rising to €3.35/kg to €3.40/kg.
Northern trade
The northern trade is sticky, with supplies running ahead of demand.
Some plants are quoting a lower U-3 steer and heifer base quote of £3.30/kg to £3.32/kg, but a significant number of cattle are trading to the mid-£3.30s. This is the equivalent of €3.81/kg at 86.7p to the euro and €4.01/kg including VAT at 5.4%.
The number of cattle moving north for direct slaughter has fallen off, with just 67 cattle moved last week.
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