Producers maintain price resistance

Marts: Producers with R grade cattle to sell are strongly resisting factory price cuts and processors are paying significantly more than the quoted prices for their supplies.

Heifers are continuing to lead the market, although the average margin for R grade over the bullocks has eased to 4c/kg.

Price reductions are being more severely applied to O grade stock, with the average O grade price paid for heifers and bullocks in last week’s kill down by up to 4c/kg (more than 1p/lb).

In the cow trade, Donegal Meats were clear leaders for both R and O grade cows at 266c-250c/kg (95p-89p/lb), opening a margin of up to 34c/kg (12p/lb) between the factories for similar grade cows.

The supply of bullocks was back 500 head at 13,075, while heifer intake increased by 100 head to 7,362.

Overall the factories paid an average of 290c/kg (103.6p/lb) for R4L bullocks — down 1c/kg — paying up to 6c/kg (2p/lb) above the average price quoted for the week.

Donegal Meats on 295c/kg and Dawn (Ballaghadereen) and Euro Foods (Duleek) at 294c/kg (all on 105p/lb) were slightly ahead of Kepak (Kilbeggan), AIBP (Clones), Moyvalley Meats and Jennings of Ballinrobe.

The overall average for O4L was down 3c/kg (1p/lb) at 277c/kg (99p/lb) although still above quoted prices.

An average of 294c/kg (105p/lb) was paid for R4L heifers.

Kepak (Clonee) were leaders at 308c/kg (110p/lb) — allowing for some premium price stock — and Euro Foods, AIBP (Nenagh & Clones) at 302c-300c/kg (107p/lb) were slightly ahead of Donegal, Kepak (Kilbeggan) and Slaney (Bunclody)

An average of 278c/kg (99p/lb) was paid for O3 heifers — a drop of 4c/kg.

Dunbia (Slane) paid the highest for P grade cows at 241c/kg (86p/lb).

With a margin of up to 20c/kg (7p/lb) between factories for P+4L cows — and more for R/O grades — it is worth producers while shopping around for the best factory prices.