Cattle market reports from the past few days show a real mishmash of price trends. Despite up to 100mm or more falling in some areas, especially the north east and western districts, supply increased at many markets.
However, the quality of the cattle was very mixed, and in some sales, plainer than the previous week. This in part led to weaker price averages, but there was a general trend of weaker demand.
MLA’s market reporters commented that not all of the processors operated at full strength, which aided some lower prices. Some of MLA’s reports have to be considered lightly, due to their very small offering, in general, and very small numbers in each category of cattle. Buyers would struggle to fill a truck and not compete.
Despite butchers complaining of their purchase price being too high, you can’t sell meat if the chillers are empty. The very top prices were dearer with isolated sales of high quality calves reaching 419c/kg lwt, at Pakenham, Monday.
This strong trend was seen throughout much of the small selection of vealers on offer with most selling between 380 and 405c/kg lwt.
Strong competition for medium to light weight vealers saw some prices increases too, with high prices not necessarily reflecting the medium quality available.
Trade buyers seeking best quality, again resorted to grain-assisted steer and heifers, paying up to 405c with mostly averaging a shade easier, between 345 and 385c/kg.
In some sales there was a notable drawback in demand, which was due in part to quality. However, some of this is reflecting changes dressing percentages with cattle struggling to adjust to the very wet and cold conditions. Most grass finished steers sold from 330-375c, and heifer sales from 330c-365c/kg were more common.
Some of the changing prices were the result of easing competition for feeder steers and heifers. Recent store cattle sales, with the exception of Yea, Friday, were a little cheaper, and this was reflected in the easing trend at physical markets.
Having said this, with spring growth now on the way, or guaranteed after the extensive rain, producers are choosing to keep plainer stock at home.
Competition for prime grown steers and bullocks has been weaker, which has been reflected in prices. Isolated sales of prime bullocks were noted to 367c with other sales more mixed from 325-360c/kg lwt.
One stand out sale was seen at Leongatha, last Wednesday with 873kg bullocks selling for 349.2c, or $3049.
Cow market price trends have varied, which would seem on analysis, due to quality and proximity from processors. The very high prices of 285-316c/kg occurred in a small number of single sales, distorting the overall result.
Most better quality beef cows sold from 245-275c, and a good selection of better finished dairy cows 225-265c/kg. Either the number of very poor condition cows is diminishing, or competition has improved, because there are fewer cows making below 185c/kg.
Bulls continue to sell quite well making to 316c/kg.
