On the cusp of our first public holiday long weekend of the year, cattle prices have faltered to some degree across the board.
Producers, embracing one of the longest hot summer spells, facing lower cattle prices, and a spate of public holidays, are not sure how to market their cattle.
For producers with quality breeding herds, the answer may be selling the offspring in store sales.
Store markets, especially the run of annual sales held already this month, have had the upper hand of higher pricing.
However, all markets are subject to quality and competition, and variations in either of these, both in store and special sales, and fat markets, are creating some concerns.
After the annual calved and joined female sale at Yea last Friday, Elders manager Ryan Sargeant summed the situation up well.
"The top two-thirds of the cattle sold to good competition, and made good money, but the bottom third was hard to sell,” Mr Sargeant said.
Let’s tie some of this together with what has been seen in fat cattle sales so far this year.
While quality has been an issue, weight has also been a concern.
Domestic processors want weight in their cattle, and they prefer the highest quality.
Producers at Pakenham on Monday had a definite leaning toward fattening cattle rather than breeding vealers.
This was related to the price differences between steers and heifers, and the best-weighted cattle, regardless of quality.
Graeme Hastings, a long-time breeder of quality European crossbred vealers, watched as his few, best quality steers sold for 305 cents a kilogram at Pakenham, but the next best was 15c/kg cheaper.
Mr Hastings was one of the lucky ones, as numerous vealers, also of good quality, but lighter in weight, sold anywhere between 30-50c/kg lower.
Producers are in a conundrum.
They are wondering whether they wait after the long weekend, or heed the warnings of more very hot weather.
It would appear that the former is the case as, despite the coming long weekend, supply was smaller at the majority of Monday markets this week.
However, prices are still falling, as processors are full to the gates with cattle, and are only picking the eyes out of fat sales.
Over the past few weeks of annual female sales, there has been plenty of comment from many different producers about downsizing this part of their operation, or getting out altogether.
Bob Webster, Webster Primary, who sold cows and calves at Yea, said he had decided he was going to fatten cattle and get out of the breeding game.
While some of this was due to easier farming, Mr Webster’s decision was influenced in part by the current market trends.
As the old saying goes, ‘A week is a long time in the livestock industry’, and change always occurs.
However, the changing trends of our retail, and export customers, appears more set in their ways, and only time will tell if this will change.
