Improvement in factory beef prices

Marts: There was an improvement of at least 10 cent/kg (over 3p/lb) in the quoted beef prices at the factories as the processors conceded on producer demands to secure additional supplies of cattle yesterday.

A base price of 280 cent/kg (100p/lb) - paid for R4L grade - broke the hold which farmers had placed on releasing cattle and supplies moved a little easier in response to the lift in prices to 280 cent/kg which had been set by producers as a minimum price in the post Slaughter Premia trade. Suppliers of U3 animals were receiving 298 cent/kg (over 106p/lb) while O4 animals were discounted to 268 cent/kg (95p/lb) in accordance with the new grid scale of payment.

Some producers reported getting 280 cent/kg (100p/lb) flat price for numbers of mostly R grade cattle. But some factories were quoting a base price of 278 cent/kg (99p/lb) and others were claiming that they were getting supplies of cattle at that price and were not being put under pressure to pay more.