Farmers hold out for 119-120p

REDUCED supply of cattle may be enough to protect cattle farmers from processors’ attempts to cut cattle prices this week.

Throughput at beef factories had been increasing steadily, but fell last week by about 1,000 head, to approximately 31,700 head.

Within that, steers were back about 500 head, to around 13,800. This will strengthen the hand of farmers in resisting any downward trend in prices, and could be the key to holding what has been achieved price-wise to date in 2008.