Northern demand keeps cattle prices on a high

Strong restocking and feedlot demand in the north for steers and heifers push prices up, compared to subdued southern sales.

Bidding frenzy: Feedlotters and restockers pushed up store cattle prices in NSW and Queensland. Picture: Jenny Kelly

IT has become all about ­location for the cattle market, with prices in the north continuing to leap ahead while southern sales remain subdued.

The difference is the depth of restocking and feedlot demand chasing steers and heifers in NSW and Queensland compared with Victoria, where there is less intense buying activity across these ranks.

It has opened up big price differentials between states, as the latest indicators from the major saleyards covered by the National Livestock Reporting Service highlight.

At the close of selling on earlier this week:

• Restocker yearling steers were at 546.8c/kg in Queensland and 527c/kg in NSW, compared with a much lower 431c/kg liveweight in Victoria;

• Yearling steers to processors were 453c/kg in NSW, against 413c/kg in Victoria; and

• Vealer steers sold for 509.9c/kg in NSW compared with 456c/kg in Victoria.

All the market reports out of the north earlier this week were upbeat, with more price spikes recorded as store buying intensified against feedlots.

It pushed nicely weighted yearling steers in the 330-400kg range to a top of 535c/kg liveweight at Wagga Wagga, with the NLRS reporting an average of 479.8c/kg for steers going back to the paddock.

In dollar terms these 182 steers averaged $1774 across an average weight of 369kg.

It forced feedlot buyers into higher money, with the 400kg- plus steers rising to an average of 448c/kg to be a few dollars shy of a new benchmark of $2000.

But those results continued to be eclipsed by restockers chasing light calves, with steers in the 280-330kg range surging to an average of 533c/kg at Wagga Wagga.

This was 40c/kg up on a week ago or another $120 on a 320kg calf, the NLRS calculated. But the tone for finished slaughter cattle, particularly out of Victorian saleyards earlier this week, was less exciting.

At Pakenham in Gippsland grown steers fell by 11c/kg, with bullocks in the 600-750kg range selling from 372c/kg to 384c/kg to average 381c/kg live. The best vealers were firm, selling at 460c/kg.

Mortlake was another Victorian sale that was flat earlier this week, with the NLRS quoting many cattle in the 1200 yarding as 5-10c/kg cheaper.

The national saleyard price average for cows slipped back to 296c/kg, while results for grown steers remained at a ballpark 378c/kg.

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