Decline in beef prices bottoms out

THE decline in beef prices at factories has eased to its lowest level in almost three months, confirming prices have struck base line, while the cull cow trade improves.

The average for R4L bullocks slipped by 2c/kg for last week’s kill, while the average price paid for similar grade heifers saw a drop of 1c/kg.

Poorer grading animals fared even better with O4L bullocks fractionally lower - after losing 1c/kg - and the average for same grade heifers improving by 2c/kg.

R4L bullocks averaged 88.7p/lb and heifers 89p/lb. Average for O4L bullocks was 84.3p/lb and heifers 84.5p/lb.

Bullock supplies were back almost 1,000 head on the previous week at 14,646 head, more than 5,500 head lower than the same week last year.

Prices for cull cows continue to improved with O and P grades increasing by 6c/kg (2p/lb) at the upper end of the market.

As the price collapse of June and July bottoms out, producers are regaining confidence, easing back on panic selling, and the trade is set for a period of stability.

Lower supplies of cattle have been putting some pressure on processors this week, but they are yielding very little on price to get extra cattle.

The most noticeable benefit to producers has been the lifting by the processors of penalties for animals over 30 months.

Prices at AIBP Bandon and Clones were up 0.5p/lb, but down 1p/lb in Cahir. Dawn Group paid an average of 0.5p/lb less at 88.4p/lb and Kepak Group was back 1p/lb at 89p/lb.

Euro Farm Foods at Duleek paid an average of 81p/lb for R4 cows, Newgrange Meats at nearby Navan paying the highest price for O/P grades at 78p/lb for O5 and over 76p/lb for P+4L.