Weanling sales building up to peak

Marts: Weanling sales have been building up to their seasonal peak this week, with prices showing no indication of any adjustment being made for the transfer of premia to the single payment in just over two months.

Unlike calf prices, which have dropped considerably for bulls born after June 1 2004 - which have no premia entitlement - weanling prices have been holding almost identical to the corresponding period in 2003.

Weanling bulls being purchased are worth around €300/head less in premia entitlements than the same animal purchased in autumn 2003. The 2004 crop of weanling heifers will earn €80/head less in premia than those a year earlier.

Teagasc warned farmers at the recent National Ploughing Championships on the maximum economic price which could be paid for weanlings this year, to leave a margin with the projected price for beef in 2005.

Currently prices being paid for weanling bulls/ bullocks are significantly higher than the maximum suggested by Teagasc.

Farmers purchasing weanlings should be conscious of the major changes taking effect under the EU Single Payment from January 1 2005, when all headage based premia will cease.

Comparison of prices with 2003 show that weanling bulls ranged from €280 to €555 over €/kg at Ennis Mart, one of the largest centres for weanling sales, where almost 1,600 head were on offer. For the same week last year prices at the mart ranged from €320 to €450 over for weanling bulls.

At Dungarvan prices this week were similar to last year, ranging to €400 over for the bulls. At Kanturk Mart the bulls ranged €280 to €365 over compared to €320 to €390 over last year. At Kilmallock the weanling bulls ranged €295 to €410 over this week and the same week last year sold at €280-€440 over.