More factories cut beef prices

The underlying trend in beef prices at the factories showed further weakening in farmer pay sheet returns last week, although producer resistance is limiting the scale of price decline.

Twelve factories reduced the average paid for R4L bullocks by amounts of up to 1p/lb, while only four centres conceded an improvement in prices of amounts ranging for 0.2p/lb to 0.6p/lb, and the average paid was unchanged at 15 factories.

Group averages paid for R4L bullocks at AIBP and Kepak were unchanged and fractionally lower at Dawn.

The average at AIBP, Nenagh dropped by 1p/lb to 109.7p/lb and increased by 0.6p/lb to 108.8p/lb at AIBP, Cahir.

Individual factory averages at AIBP ranged from 108.8p/lb at Cahir to 110p/lb at Clones, Dawn Meats prices ranging 107.7p/lb at Midleton to 109.8p/lb at Ballaghadereen and Kepak paying between 108.2p/lb at Watergrasshill and 110.1p/lb at Clones. Generally, southern factories continue to pay lower prices.

Factory throughput increased to 31,697 head of which bullocks accounted for 14,528 — slightly higher — and heifers unchanged at 7,506 head.

While producer resistance to a price cut is evident, it is a significant indication of the trend that 40% of the factories did effect some reduction in the average paid, up from 25% reducing prices the previous week.

There was no southern factory in the top price league for R4L bullocks with 111.5p/lb at Donegal Meats, and Euro, Newgrange, Liffeys, Kepak (Clonee), AIBP (Clones), and Kildare Chilling all paying over 110p/lb. The average for O4L bullocks was 107.6p/lb. Kepak (Clonee) paid the highest for R4L heifers at 112.8p/lb.