Strong trade drives price over £1/lb

STRONG demand for beef is creating competition between factories for cattle, which has resulted in a further surge in prices offered to cattle farmers this week.

Prices have improved by up to 8 cent/kg (3p/lb), in a second consecutive week of strengthening prices, pushing the return for R grade animals to 280 cents/kg (100p/lb) for bullocks, and higher for heifers, to meet the demand for Christmas orders.

The factories’ quoted prices of 274 and back to 263 cents/kg (98p to 94p/lb) for R and O grade animals this week were surpassed by between and 11 cents/kg (2p to 4p/lb) in the prices actually paid by processors to secure sufficient supplies of cattle to fill their early Christmas orders. Strong demand for beef in Britain and on the continent led to plenty of competition between factories for cattle and a return of 100p/lb and over for farmers for the first time in five months.