Heifers sell best as trade winds down
Gains of 3 to 6 cent/kg (1p or 2p/lb) were achieved for the quality heifers this week.
Similar gains were made for steers aged under 30 months at some of the processors, but most processors maintained prices at last week’s rates, and some did not quote at all for cattle this week.
Slaney Meats were strongest in the south and east of the country, offering 280 and back to 269 cents/kg (100p to 96p/lb) for R and O grade heifers, and under 30 months steers, while the general quote from the factories was 274 and back to 269 cents/kg (98p to 96p/lb) for R and O grades.
Demand was strongest for the quality heifers this week, with supplies running at 1,000 head per week back on this time last year, and good market demand driving competition between the processors for available supplies.
Up to 100p per lb was readily on offer, and a bit more depending on regional supply and demand at each factory for the quality R grade heifers.
Supplies on the beef market in Britain are now adequate to meet demand.
But strong consumer buying is expected for the days immediately prior to Christmas.
In contrast, higher numbers of steers having been carried forward from autumn is showing in the strong supply levels now.
Intake of steers over the past couple of weeks was running at 3,000 head per week higher than this time last year. Although export orders are strong, partly as a result of the ban on beef from some regions Brazil, the current strong supply of steers in the south and in most of the midlands has eased any pressure on factories to pay more to secure extra cattle.
Exel Meats at Kilbeggan and sister plant Newgrange Meats, Navan did not quote for cattle this week, because their supply was very strong.
Factories will operate two or three days next week, before closing down for Christmas, and slaughtering requirements up to the New Year will depend on demand.
Some factories expect to have a light kill the week after Christmas to supply supermarket demand.
The trade for cull cows continued steady this week with a base price of 224 cents/kg (80p/lb) on offer. The quality cows making R grade are fetching 12 to 15 cents/kg (4p or 5p/lb) more, with good demand for the heavy carcasses.
* Continuing firm beef prices across Europe and euro exchange rate gains against the dollar were given as reasons by the EU Beef Management Committee for the recent unexpected cut in export refunds.
It’s a setback for exporters hoping to take advantage of strengthening world markets due to bans on Brazilian beef and moves in Argentina to curb their beef exports, and to divert any shipments dislodged from the UK market by the return of British cow beef. The setback follows a 20% export refund cut last June and will hit Irish trade with markets such as Russia, Lebanon and Egypt, which resumed taking Irish beef last October.
