Price consistency evades cattle market

Wet weather and unpredictable demand are wreaking havoc on the cattle market. See how trading unfolded this week.

Price consistency is still evading the cattle market, with more erratic results this week despite the wet weather reducing numbers at some selling centres.

The positive from trading on Monday was stronger results for cows and manufacturing steers, prices in the south lifting by up to 25 cents per kilogram liveweight from a low base.

Heavy beef cows sold from 206c to a top of 251c/kg at Pakenham in Gippsland in one of the better markets seen for slaughter females for some weeks. Mortlake in the Western District also had a better day with heavy cows from 210c to 265c/kg, the National Livestock Reporting Service said.

However, showing the lack of consistency across the market, the overall saleyard price indicator for cows eased by 2c on Monday to track at 203c/kg lwt, according to Meat and Livestock Australia.

It was pulled back by mixed results across NSW and Queensland, with the cow indicator showing price averages of 166c/kg to 202c/kg across the north. Blackhall in Queensland had the highest input into the cow indicator at 677 females, averaging 179c/kg.

Vendors and buyers at Mortlake in June. Those selling this week had an OK day on Monday, with heavy cows from 210c to 265c/kg, the National Livestock Reporting Service said. Picture: Zoe Phillips

When the cow market is analysed by state, Victoria has the highest average of 208c/kg to be trending 16c better than Queensland, the difference partly influenced by higher yielding beef females in the south.

Overall, the cow market is symbolic of what has happened across the industry this week, with dearer prices in some locations cancelled out by weaker results in others. It meant there had been little change to overall saleyard indicators.

At the close of selling on Monday night, MLA reported:

Feeder steers at an average of 307c/kg lwt, 1c off late last week and 4c down on a week ago;

Heavy steers at an average of 282c/kg, 2c down from last week;

Yearling steers to restockers at 321c/kg, the category to show the biggest fall of 12c in the past week; and

Yearling heifers to restockers at 250c/kg, firm on a week ago.

A breakdown of data from the Eastern Young Cattle Indicator shows restockers have been active and buying young cattle, but only at cheaper rates. They have been able to do this due to weaker competition from the feedlot sector.

The latest EYCI results showed restockers purchased 3039 young steers and heifers, compared to 2611 that sold to feedlots. The price point paid by restockers was 534c/kg carcass weight equivalent, which was 22c cheaper than a week ago, MLA said. The price paid by feedlots was 563c/kg to be just 2c cheaper. It is unusual to see the restocking category holding the cheapest price within the EYCI.