Market price trend firm
Wet weather and a lack of supply limit cow numbers as producers begin rebuilding herds.
MORE rain has helped maintain cattle prices rather than prompting further price spikes.
National saleyard prices on Monday were only marginally higher despite good rain across parts of the country that reduced supplies at most centres.
The trend in the past week has been firmer, after processors had managed to pull back the market in the previous fortnight.
At the close of selling on Monday night, data from the National Livestock Reporting Service listed:
COWS at 275c/kg liveweight to regain 13c/kg in the past week.
FEEDER steers at 400c/kg for a mild correction of 2c/kg.
YEARLING steers to processors at 399c/kg to be unchanged.
HEAVY steers at 367c/kg, improving by 7c in the past week.
The overriding price indicator for young cattle — the Eastern Young Cattle Indicator — shifted upwards to 767c/kg carcass weight on Monday night. This is an improvement on the past week, but still below the record set earlier in the month.
On the supply side, the latest available slaughter figures show a modest lift in production.
In the week from September 4-11 some 111,899 cattle were processed in the eastern states, according to Meat and Livestock Australia.
This was 6pc higher than the previous seven-day kill, but still much lower than 12-months ago.
Cow numbers did tighten in early trading this week, influenced by the wet weather and the lack of supply as producers begin rebuilding herds.
There was just 405 cows sold through the sale ring at Wagga Wagga in NSW on Monday. Prices did not manage to go above 300c, but the market was consistent, despite not all exporters competing.
The NLRS reported an average of 293c/kg lwt across the heavy beef cows to be within one cent of a week ago.
In dollar a head terms they averaged $1940, showing how much weight is being carried on mature cattle thanks to the good season.
The grown steer market has also regained some traction after becoming patchy in early September sales.
At Pakenham on Monday about 100 bullocks sold from 360c to a top of 383c/kg lwt.
Domestic processors paid to 448c/kg lwt for the pick of the vealer calves this week, which is steady on recent results.
However, only standout young cattle are exceeding 425c/kg, with most yearlings and calves to processors pegged between 380c to 420c/kg.
There was some pressure applied to young store cattle in early trading this week as supplies tightened in the north after rain.
The standout result was an average of 430c/kg for yearling steers weighing 330-400kg, which sold to restockers out of the Wagga Wagga yards.
It amounted to an average cost of nearly $1600 a head, about $100 better than a week ago.
— JENNY KELLY
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