Finishers getting badly crushed by shrinking margins

Some suppliers in the north-west of the country are reporting 5-10c/kg more in deals after hard selling, but the rest of the country its more or less a 'take it or leave it' on the quoted base

Irish prices are now 17c/kg under the UK comparative.

As the processors continue week after week, price cuts eroding producer returns, the finishers are beginning to get badly crushed by the shrinking margin over the high cost of replacement stock.

The factory quotes across all main categories of stock have been reduced by a further 10c/kg this week as the week-on-week downward pressure on factory prices wipes €100-€125 per head off returns to suppliers in less than a month.

The earlier predictions of a "strong spring trade for beef animals" based on expectation of "tighter supply" and the prices slightly higher than 2024, have been completely shattered.

A lifelong experienced finisher summed it up neatly this week saying that "the only reliable prediction for the beef market ever has been its total uncertainty on prices, and it seems that nothing has changed".

The IFA livestock chair, Declan Hanrahan has fired a warning shot across the bow of the processors this week that their run on prices is "unfair to winter beef finishers" as Irish prices are now 17c/kg under the UK comparative.

This week the general base on offer for steers is 680c/kg. Some suppliers in the north-west of the country are reporting 5-10c/kg more in deals after hard selling. For the rest of the country its more or less a "take it or leave it" on the quoted base.

It is very little different for heifers on a base of 690c/kg, except a little easier to get a few c/kg more for large numbers or a sizeable lot of good quality heifers.

The cow prices have also some under pressure. Prices for R grade cows have eased to 650c/kg with some reports of 660c/kg for lots of well-fleshed cows. 

The young bulls are trading at a premium of 20c/kg over the steer price with R grade young bulls making around 700v/kg.

The weekly intake at the factories since early January has ranged between 30,000 and 32,500 head which is 6,000-8,000 head/week less than last year and the prices have now slipped below the same time in 2025, while replacement medium to forward replacement stock are costing a lot more than in 2025.

There was a further increase in the supply to the factories last week, which came to 33,045 head, the highest year-to-date weekly intake. However, the intake trailed the same week last year by 5,500 head.

The fourth consecutive week of intake increase indicates that finishers are continuing to push out cattle to hedge against the ongoing week-after-week price cuts.

The supply included 12,366 steers, 10,471 heifers, 7,281 cows, and 2,164 young bulls.