Steady week isn’t conclusive evidence

It would be a brave prediction to deduce from the steadier tone to the trade this week, that the next price movement will be upwards.

But at least the easing of the downward slide is welcome.

There were some slight changes in prices at the factories on Monday, mainly confined to the R grade category, but they were minor, some offering slightly improved prices for R grade and others slightly easier.

There was no change in the prices for O grade steers and heifers.

The general run of prices for R grade steers and heifers under 30 months is 235 cents/kg (84p/lb) with a minority of factories having dropped 3 cents/kg (1p/lb) below that. Most factories are paying 224 cents/kg (80p/lb) for O grade.

Demand for cattle is not very strong at the factories, and they are getting plenty to meet their requirements without any difficulty, so there is not much pressure on them to increase prices.

In this, the peak holiday month of the year, there is normally weak demand for beef. Some retail promotions for beef in Britain over the past week resulted in a slightly firmer demand, but overall, the trade is relatively quiet. The result of the UK promotions was mainly an increase in demand for round cuts. The wholesale market is experiencing its usual quiet pattern for the holiday period.

Across the continental markets, in France, Holland and Germany, there has been very little change over the past week. The limited quantities of Irish beef going into Holland are reported to be doing reasonably well. In Germany, supplies of finished cattle have tightened and demand is best for the prime cuts.

The kill here last week was slightly increased, but it is still 5,000 head lower than the corresponding week in 2001 In the marts, the trade for store animals eased through the second half of last week. That trend continued into the opening sales this week, although there were some exceptions on Monday, with smaller numbers on offer at Bandon Mart and an improved trade for the forward bullocks with a premium, which made up to 340 over for the tops.

There was also a lighter supply of heifers but the trade for them was a bit quieter.

Trade was also back at Dungarvan on Monday, where there was an increase in the supply on offer, while at Blessington Mart, there was a complete clearance at prices improved by 10-15/head.