It’s a sellers’ market for cattle at the moment and farmers should not rush into moving livestock this back-end unless they are well paid for them, Irish Creamery Milk Suppliers Association (ICMSA) livestock chair Michael O’Connell said.
“The trade is good in England, numbers are well back on the continent and supplies of finished cattle here at home are tight,” O’Connell told the Irish Farmers Journal.
Given that farmers are in “a good position price-wise”, he urged them to take advantage of the current situation.
“Do not be rushed into selling your cattle. Take your time, explore your options,” O’Connell said.
Kill figures
Examining the national kill figures for the week ending 10 August, the ICMSA representative pointed out that throughput had fallen to 30,699 animals. This was a reduction of 8% - or 2,630 head - compared with the same week last year.
O’Connell also noted that just 2,100 of the cattle killed that week were steers.
“It is clear that the factories are concerned with a rise in quoted prices across the country this week,” he said.
The ICMSA representative claimed that €5.15/kg has been paid for steers, although base quotes have held at €5.05/kg.
Cow trade
“The cow trade has remained very positive despite a 10% increase in throughput year to date, with P and O cows trading at up to €4.50/kg flat for a mix of P and O cows that are over 270kg deadweight and a 2+ or better in fat score,” he said.
O’Connell said it was hard to believe that factories are not anxious for cattle when heavy continental bullocks in the 700kg to 800kg weight bracket are making in excess of €3/kg liveweight.
The factories should stop “playing on the weather” and instead offer beef producers some certainty by indicating where prices will be for a month to three months in advance.
“Factories are not doing weekly prices with the supermarkets, so why can’t they offer the same level of certainty to farmers?” O’Connell asked.
He accepted that forward price contracts are difficult, but he maintained that beef processors should be in a position to offer monthly prices to farmers.
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