Another week and no panic

Another week into the back end, another significant kill, and prices are holding. Indeed at the start of this week the export plants were short of stock and some farmers got lucky at 84 p a lb for R grade stock under 30 months.

Later in the week bigger numbers came out and factory price seemed to settle between 80 and 82 p a lb for steers but butchers heifers are still on 83/84 a lb.

Last week the EU accepted the full Special Purchase Scheme tender of 5400 tonnes from Irish factories. While there may be plenty of dairy cows coming out in the South, factories from the Midlands up are definitely very keen for cows and deals at to 68 p a 70p a lb have been agreed for heavy cows. At the other end of the scale factories across the South are not passing back the SPS price of 57p a lb for the boner cows.

Intervention

Of the 904 tonnes of the FQ tender the beef plants got 769. At an average of 118 kg per forequarter this will absorb the fores of about 6500 steers. Only O grades from carcases up to 380 kg are eligible for Intervention. The cut off price for the steer intervention was slightly higher than for bulls elsewhere across Europe.

Strong kill

Again last week there was significant kill 35300 cattle which included 26,300 prime steers and heifers. It's encouraging that this volume has been handled without any undermining of price.

In recent weeks Irish plants have doubled their demand for export licenses to 2,000 tonnes a week and this is all for Russia. A senior Russian veterinary delegation is in Ireland this week inspecting beef plants and department controls. A lifting of the restriction on any of the six banned counties is not expected in the short term.

If the weather allows for an orderly disposal of cattle for the rest of the Autumn there is hope in the industry that prices have bottomed out. Farmers have responded well to the drive to get the cattle away before their 30 month birthday.

By Wednesday Donegal Meats were still waiting to resume slaughtering after their renovations. Donegal farmers were reluctant to take the same price quote as applied in early August.

Live shipping

The walk on walk on Gerard Patrick unloaded its 1700 weanlings in Bilbao Spain last Sunday and is back for a re-fill. The report from the shipper is that no news from the Spanish customers is a good sign that the animals have travelled well.