With major flooding, and more rain predicted for this week, numerous markets tendered smaller offerings. However, some markets, after having numbers drastically reduced the previous week, offered increased numbers.
Overall, supply was a little higher, which included some of the Western District and sales in the south east of South Australia this week.
As processors seek supply and quality, they have lifted their demand, especially in markets where quality has lifted. A couple of buyers stated that cattle are steaming ahead, despite the wet weather.
Some of this very good quality was noted at Pakenham, Monday, with a good line up of grass fattened grown steers, bullocks and heifers. There was better competition in this market with extra buyers present due to the Young Auctioneers competition occurring after the main sale.
Rain affected markets have proven to be the best supported by processors seeking quality trade cattle. Over the past seven days, markets have recorded record highs in vealer prices. First it was Swan Hill last Thursday with 420c/kg, then Wagga Wagga with a top of 423.6c/kg.
Both of these were very good, only to be topped by Wodonga market with a top price of 425.6c/kg achieved. this has put some of the best quality vealers over $1600 per head.
Generally prices for vealers were between 380&413c/kg lwt. This strong demand continued into yearling steer sale with prices ranging from 370-415c/kg. MLA markets were generally quoted as being 5-10c/kg higher week-on-week.
Strong competition continued for the best quality in all classes of cattle, and this was very apparent for the numerous pens of good quality sold at Pakenham. Prices ranged from 355-369c/kg lwt. Several processors, both domestic and export, bid strongly for grown steers, 500-600kgs, paying from 360-375c/kg lwt.
Despite feedlot operators wanting to pay less for steers and heifers, the weaker supply, especially in the north east, led to increased prices. Some of this is the reflection of recent store cattle markets, where prices were again on the rise. Feeder steers sold from 360-425c, and heifers mostly 345-385c/kg lwt.
Competition at cows markets was stronger, and this was despite a weakening price for 90CL grinding beef to the US market. Camperdown and Shepparton markets this week, and Leongatha the previous Wednesday, tendered more cows, and many were plain 1 & 2 score.
Peak of the cow prices was European breeds, which peaked at 306c/kg. However, better quality beef cows were mostly 5-10c/kg with a range of 265-290c/kg paid for medium to good quality.
Given the state of the US market pricing, it was interesting to see lean dairy cows quoted up to 20c/kg lwt dearer. Many of the very lean, poor condition cows sold between 175&235c, while the best quality 2 score Friesian cows sold to a top of 276c/kg.
One grain company said that dairy farmers are recovering from the earlier demise, and taking advantage of the cheaper grain prices, which is improving the condition of some chopper cows.
