The beef trade is finely balanced between supply and demand. The weekly kill has steadied in recent weeks in the region of 28,500 head with factory agents working harder to secure required supplies. Factories are resisting upward price movement across the board but are being forced to reward finishers with higher numbers and as such greater negotiating power.

At the higher end of the market sellers have secured a base of €4.05/kg to €4.08/kg for steers and a base of €4.15/kg to €4.20/kg for select heifers. This is significantly above the base price of €4.00/kg and €4.10/kg to €4.12/kg secured by a high percentage of sellers trading smaller numbers of steers and heifers, respectively. Independent plants with a smaller supplier network are in many cases worst affected and are willing to compete more for larger groups of stock.

A similar position is evident for bulls. More specialised finishers are securing €4.00/kg and €4.10/kg for R and U grade bulls with talk of penalties only entering the frame at carcase weights of 450kg. The exception to this is finishers with supply arrangements who are working off a given weight limit but rewarded to do so with a bonus mechanism in place. Sellers with small numbers of bulls on offer are being offered €3.95/kg and €4.05/kg for R’s and U’s or a flat price of €4.05/kg where a seller has some negotiating power. Bulls less than 16 months are being offered a base of €4.00/kg although more farmers are securing a base of €4.05/kg. This excludes the 12c/kg QPS bonus for in-spec animals.

Cows firm

The cow trade is solid with plants most active in the cow market driving the trade. P+3 grading cows are selling from €3.05/kg to €3.25/kg with O grades selling from €3.30/kg to €3.45/kg. R grading cows are moving in general from €3.50/kg to €3.60/kg with the top paying plants active for young, fleshed and heavy carcase cows paying up to €3.70/kg for U grades.

Stronger Northern Irish and British trade

Despite factory attempts to resist upward price movement, prices are creeping up in Northern Ireland and Britain. Quotes for U-3 steers and heifers generally range from £3.14/kg to £3.16/kg (equivalent €4.28/kg to €4.31/kg including VAT) but regular sellers are securing anywhere from £3.20/kg (€4.36/kg including VAT) to £3.24/kg (€4.42/kg). Across the water, R4L steer and heifer prices have lifted an average of 2p/kg to 3p/kg on the week to £3.26/kg to £3.28/kg.