A testing time for beef prices

Marts: Beef finishers could be facing a testing week on beef prices with a strong increase in the flow of cattle reported by the factories yesterday.

The pattern was similar across most areas of the country - factories finding it easier to source cattle - with the strongest supply surfacing in the south. Prices at factories held firm yesterday, but could come under pressure in the next week if the momentum on supply continues, with poorer grading animals most likely to be the first to experience the cut in return.

The quality R4 animals were generally making 291c to 294 c/kg (104p-105p/lb) with the higher level for nice lots of cattle at the factories yesterday. But there was a move on easing for the O grade with several factories trying to buy around 283c/kg (101p/lb), down around 3c/kg (1p/lb) on recent averages.