Last week’s kill increased by 1,541 head to reach 33,997. The increase stemmed primarily from steer throughput rising 895 to 16,084, with the cow kill also increasing 656 head to 7,725. More cattle in the market gave factories at an upper hand in negotiations last week, with the steer base reducing 5c/kg to €3.75/kg.

Some plants in the west and northwest are trying to purchase cattle at a lower base of €3.70/kg, but there are still plenty of cattle moving in these areas at €3.75/kg.

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The heifer base has also come under pressure, but not to the same degree, with throughput holding steady at 7,725 head. The majority of heifers are trading at a base of €3.85/kg, with choice lots trading at the higher end of the market selling for €3.88/kg to €3.90/kg.

The increase in cow throughput is coming from cows starting to be dried off and culled from dairy herds.

Under-fleshed cows are a difficult trade, with P+ grades with an average cover of flesh starting at €2.80/kg. Poorer quality lots are trading 20c/kg to 40c/kg lower, with the mart trade a good alternative for good feeding cows.

Fleshed P+3 grading cows with a period of feeding behind them are selling to €3.00/kg at the higher end of the market, with fleshed O grading Friesian cows from €2.95/kg to €3.10/kg. Fleshed beef-bred cows remain steady, with O grades to €3.20/kg, R grades from €3.20/kg to €3.35/kg and U grades to €3.45/kg and, in some cases, to €3.50/kg in cow specialist plants.

Bull kill falling

The bull kill has fallen to 1,902 head, but despite the low kill, pressure on the trade has also transferred into the bull market. R grading bulls are selling from €3.75/kg to €3.80/kg, with U grades to €3.85/kg and €3.90/kg at the top end of the market. Bulls less than 16 months and trading on the grid are on a base of €3.75/kg.

NI and British trade

The trade remains in complete contrast with the North and in Britain. Northern U-3 base quotes range from £3.34/kg to £3.36/kg or the equivalent of €4.12/kg to €4.15/kg including VAT, with sterling currently at 85p to the euro.

Some quotes increased 2p/kg this week and sellers continue to have success in securing 4p/kg to 6p/kg above quotes. Those with greater negotiating power and trading at the higher end of the market are securing quotes into the mid to high £3.40s.

British prices continue to strengthen, with a further rise of 2p/kg to 3p/kg last week.

R4l steers are trading at £3.64/kg to £3.66/kg (€4.49/kg to €4.51/kg including VAT), with heifers 2p/kg less at £3.62/kg to £3.64/kg (€4.47/kg to €4.49/kg). The outlook remains strong, with demand currently exceeding supplies.

Bord Bia reports no change in the Italian market, with the R3 young bull price increasing 4c/kg to an average of €3.99/kg including VAT.

French R3 young bull prices are sluggish, with the last reported price of €3.52/kg or €3.70/kg including VAT, while U grades are €3.77/kg or €3.96/kg VAT inclusive.

German prices are slowly increasing, with the last reported price for the first week of September at €3.66/kg for R3 grading bulls (€3.85/kg).

Live exports

Live exports north for direct slaughter have collapsed compared with 2015 levels. There were just 260 cattle exported north for direct slaughter last week compared with 741 for the corresponding week in 2015. Live exports to Italy are steady, with 318 head exported in the first week of September. Exports for the year to date, at 104,503, are running 25% or 34,464 behind 2015. A shipment of bulls early next week is hoped to kick-start live exports to Turkey.