Beef prices remain firm at factories

BEEF prices have continued a very firm tone at the factories this week with all prices holding, and some processors adding a little to their quotes as the trade becomes ever closer to a benchmark norm of 100p/lb for R grade.

The one significant change in the trade this week is that, as supplies continue to reduce, the factories have begun to ease the pressure on getting more of the scarce cattle by reducing the kill, which this week is back to between two and four days at some of the factories.

It is not unusual to have a reduction in the killing days at this time of the year, but the processors are so conscious of the cost of beef - as they see it - relative to market returns that they are anxious to cut back the requirement at the first opportunity, and once they have enough to fill their orders that is all they want.