By John Shirley

South and North of the Border this week, beef processors are talking down the price of cattle.

A drop is not justified and with a little gumption will not happen, claims Derek Deane of the IFA Livestock Committee. He points out that UK prices, the benchmark for Irish farmers, are rock solid at the equivalent of 295 c/kg (105p/lb) for the R grades and 266 c/kg (95p/lb) for O grades. Interestingly Northern Irish plants have told their farmers that the price will be back next week by 2p/kg because of cheap beef from the South. The same buyers are trying to buy extra cattle in the South next week at 252 to 263 c/kg (90 to 94p/lb)

In the "South of the South" factories are trying to buy at 244/246 (87/88 p/lb) for O and 252 c/kg (90p/lb) for R. As you move up country farmers are holding for 252 c/kg flat. From the Midlands up the bargaining starts at a base of 252/257 c/kg for O/R. Heavy Continentals are making from a base of 263 c/kg (94p/lb).

Cows

If anything cow prices are hardening across the board with the nice round figure of 200 c/kg (71.4 p/lb) freely paid. This is a good indication of the essential steadiness of the EU beef scene. Russia is taking a steady 1500 tonne a week of mostly forequarters. Some very small level of slaughtering for Egypt is expected to begin within a week or two.

Marts

While there are more cattle appearing in marts, farmers are scratching their heads trying to find something suited for grass now that the big hungry aged store is gone from the scene. Most cattle are viewed as too hot and too young for the job.

Some are buying 450 to 500 kg stores and contemplating feeding meals to get them out before an anticipated Autumn rush. Of course the other almost unspoken cloud that is around is the prospect of an Irish BSE regrading that would put us in the same category as Portugal

EU Changes

No signal of a rise in export refunds is indicated for this Friday's Beef Management meeting. There's even a hint of a cut as the EU Commission builds up for the mid term review of Agenda 2000 the contents of which are due in Mid June next.

Ireland's sparring partner and head of beef in the Commission, Prosper de Winne has been promoted to FEOGA. Frenchman Jean Jacque Jaffrelot is expected to fill the vacant post which is important to Ireland.

Expect Prosper de Winne to keep a fatherly eye on Irish beef now that he has control of EU purse strings.

End of Maynooth era

Next week sees the end of the line for what has been the country's flagship mart for almost 40 years.

The scramble is on to take over its business. The Doyles themselves are upgrading Blessington mart with dry cattle on Monday, sheep Tuesday calves/cows/weanlings on Wednesday.

This Wednesday a Belgian Blue calf sold for 620 euro; a sight hardly envisaged in 1960.