I HAVE a request for market reports from different States so that Victorian producers can see how they compare.
While Meat & Livestock Australia (MLA) issue daily stock market reports, it can be difficult to glean extra information from them.
Producers can access this information from websites which cover many forms of farming from around the country.
However, I was in Western Australia last Thursday for four days, and while there I purchased one of the country newspapers.
I have been asked many times for my opinion on where the livestock industry is heading in the coming months.
Obviously, the weather will have some, or the biggest impact on this outcome, but I would like to mention what is happening in WA markets at the moment.
First, let's set the scene. Three or four years ago, WA was in the grip of severe drought.
Combined with a distinct lack of competition, sheep and cattle were transported from west to east in the droves.
This left the west with severe supply issues, and now the Indonesian market has returned to normal, pastoral properties have been sold, and abattoirs have been purchased, there is a big turn-around occurring.
I noticed two different trends in MLA's market reports from the new complex at Muchea, WA, and from regional centres.
The first was the difference in competition from WA's largest saleyard, Muchea, and the other centres.
Muchea had the strongest competition, and the others were noted for a difference in price. This scenario appears to be happening in NSW at the moment, and also in some Victorian selling centres.
What took my eye were the prices for cattle.
The C3 yearling steers were mostly grain-assisted, and sold from 210-270 cents a kilogram liveweight.
Prime condition yearling heifers sold from 200-250c/kg, and averaged 237c/kg.
Finished grown steers sold from 200-243c/kg, grown heifers 205-224c/kg, and good quality heavy beef cows sold to 198c/kg, av 194c/kg.
Although Muchea agents yarded 2158 cattle, there remains a shortage of stock, which is driving prices.
Obviously, demand for export tonnage is driving this market, similar to the Eastern States.
However, if it manages to rain in the north, producers could be facing similar competition, and high prices.
This is certainly something to look forward to, if it happens.
However, the lamb and sheep sales are similar to the eastern markets.
Prices are mirroring ours, but there is less competition in the west and the glut of sheep and lambs occurred a year prior to the cattle, and supply is on the increase.
Both Muchea and Katanning, WA, sheep markets are the two major sales, and attract similar competition.
Prices for new season lambs, more than 22kg, were from $120-$124. Other lambs and sheep sold according to their quality, and matched Victorian prices closely.
WA had a record 17 million tonne grain harvest in 2013, and this season's crop is looking equally as good.
A survey released last week showed WA farmers were the most confident in Australia, with sheep and cattle producers leading the way.
A Planfarm Bankwest survey of 550 broadacre operations showed some had an 18.6 per cent return on capital after the record crop of 2013.
Apparently CBH grains are the largest operator, and they are offering $4.55/t rebate up from $2.60/t in 2013.
No wonder WA farmers are smiling – hopefully this joviality will carry over to the Eastern States later this year.
However, I don't wish to prick the balloon yet, but a drier than normal August in Victoria and NSW is influencing some extremely large turn-offs of cattle, and lamb and sheep numbers are also on the rise.