There is no reported factory closure due to coronavirus, but the virus is causing significant disruption to the trade in other ways.

Overall throughput has reduced, as factories alter processing to adhere to Government recommendations.

This has led to reduced activity for certain types of stock, with demand for cows hardest hit.

It comes on the back of factories focusing on fresh meat sales to keep supermarket shelves replenished.

This focus is reflected in some plants operating boning and packaging halls or carrying out a small kill of stock on St Patrick's Day. Demand for cows has also been hit by a sharp dip in food service sales.

Many plants are now starting to prioritise carcases less than 400kg

This is also starting to feed into lower demand for young bulls and heavier-carcase steers, with lower demand for large striploins and roasting cuts.

Many plants are now starting to prioritise carcases less than 400kg carcase weight and, in cases, are penalising those over 420kg by 5c/kg.

Cows

Quotes for cows have fallen anywhere by 10c/kg to 20c/kg since last week. Many producers with cows on hand are meeting an increased lead-in time from booking to slaughtering.

P+3 grading cows are averaging €2.90/kg, with O grades ranging from €3.00/kg to €3.10/kg. R grades are also reported as easing back to a range of €3.20/kg to €3.30/kg.

Steers and heifers

The steer and heifer trade has eased on average by 5c/kg in recent days. Steers continue to trade in the main on a base of €3.65/kg.

Some plants have also pulled the heifer base price back to a similar level, with a higher base of €3.70/kg confined to sellers with greater negotiating power.

Young bulls

Young bulls are also meeting a tempered appetite, but demand is being helped somewhat by significantly less bulls in the markets at this time of the year compared with previous years.

Prices have eased in cases by 5c/kg or more where producers do not have a good relationship with factories or have bulls that are deemed out of spec.

U grades range from €3.60/kg to €3.70/kg, with R grading bulls from €3.50/kg to €3.60/kg on average.

As mentioned above, the carcase weight of bulls is now having a greater influence on price, as is the producer-processor relationship.

O grading bulls range anywhere from €3.25/kg to €3.45/kg, with flesh cover and quality having a major effect on price.

Coronavirus precautions

Many factories have moved to reduce their physical interaction with producers and, in turn, reduce the risk of the virus spreading.

Many are asking producers not to exit their vehicle when delivering cattle or sheep for slaughter, while mart facilities such as the canteen or gaining access to procurement staff offices are strictly off limits.

This is a necessary move to protect all involved and hopefully maintain processing.

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