Confusion on new pricing system

Marts: The changeover to the new pricing system at the factories has led to some confusion among producers in trying to come to grips with the multiplicity of prices for different conformation and fat scores to which the new system is tied.

While the higher return for quality animals has been welcomed, both breeders and finishers of poorer grading livestock will be hit by weaker returns as the lower prices are passed back the line in the new year.

The new system will particularly affect prices for poor conformation animals from the dairy herds being purchased for beef production, because of the widening of the price difference for the finished cattle at the factories.