Out of the houses, into weak trade

WEAKER export markets have been blamed for more pressure on beef prices at the factories this week, after orders for the Easter trade were filled.

Supplies of cattle to the factories have continued to increase and some producers were annoyed this week by the difficulty in booking cattle in for slaughter.

Into the second half of the month and with an overdue census date on their minds, a lot of finishers were anxious to get their houses emptied, and did not welcome the shorter working week and likely reduction in kill.

Prices unchanged from last week were on offer at some factories on Monday morning, but their requirements were rapidly filled up and lower prices and difficulty in getting cattle booked in quickly became the order.

Prices are back by 3 cents/kg (1p/lb) at most plants for the week.

A number of the factories were booked up for the week by lunch time on Monday, and others were finding that their requirements were rapidly filling, which was not good news for producers anxious to sell.

In general, R grades were making 235 to 241 cents/kg (84p to 85p/lb) and O grades were quoted at 224 to 227 cents/kg (80p to 81p/lb), for under age cattle.

Up to 246 cents/kg (88p/lb) is available at Galtee Meats, Charleville for cattle over 400 kgs and that is being paid for both under and over 30 months provided that the quality and weight requirements are in order.

Cattle aged over 30 months are few and far between presently.

In many cases, they make the same prices as younger cattle, but some factories are discounting, particularly if the quality is not great.

The steer kill was up 1,000 head last week at 21, 567 head, out of a total kill of 36,010 head, compared to 30,080 head for the same week last year.

Last week saw the fourth consecutive weekly increase in the steer kill, but two short working weeks around Easter and weaker demand at the factories this week are likely to end that trend.

Cow prices are showing the first signs of coming under pressure, weakening slightly at the top end of the market. Up to 185 cents/kg is still being quoted, and a little more is being paid for heavy cows, but the 193 cents/kg (69p/lb) of previous weeks may be harder to achieve.

While the weekly kill of cows at the factories is up 10% on last year, the kill for the year to date is trailing 2002 by 2%.