Anger at 16 to 24 cent/kg price cuts

ALTHOUGH cattle supplies are tightening again, farmers are seething with anger over the drastic cut in prices, which they argue are completely unjustified at the level inflicted over the past two weeks.

More sluggish consumer demand, and weaker sterling, and a good supply of cattle available provided conditions for processors to cut 16 to 24 cent/kg off cattle prices over the past few weeks. Farmers with finished animals were told to take it or leave it, as prices continued to fall through the second half of last week, resulting in farmers reducing cattle supplies, which had a stabilising effect on prices.

Prices opened this week at the closing level of last week, following the sharp drop in cattle intake.