Supply tightening boosts beef price

BEEF prices increased by an average of 3 cents/kg (1p/lb) after producers tightened supplies of cattle to the processors last week, reversing fears of weakening prices as factories’ supplies built up.

For the first time in 2005 more than 105p/lb was paid for R grade bullocks and heifers and in excess of 103p/lb was paid for O grade animals at the highest-paying factory in the country, following the uniform increase average 3 cents/kg (1p/lb) over the previous week.

The highest factory average for R grade bullocks was 295 cents/kg (105.5p/lb) at Donegal Meat Processors. The national factory average was 287 cents/kg (102.5p/lb. Exel Meats at Kilbeggan, Newgrange Meats, Navan, Bergins of Kildare, Kepak at Athleague and Watergrasshill and Liffey Meats at Ballyjamesduff all paid factory averages between 103.1p/lb and 103.9p/lb. The overall average for O4L bullocks was just under 100p/lb with a top price of 103.6p/lb at Donegal.

Heifer prices were broadly similar to the bullocks at a top factory average price for R4L of 105.3p/lb and national average of just under 103p/lb. Kepak at Clonee were the leaders followed by Donegal at an average of 104.6p/lb. The average for O4L was 99.5p/lb.

Kildare Chilling paid an average of almost 251 cents/kg (90p/lb) for R4 cows, with strong prices of 87p/lb for O4 and 84p/lb for P+4 at Exel Meats at Kilbeggan as demand for cows continues to strengthen and prices continue to harden.