The number of cattle slaughtered in NI last week was the highest so far this year at 9,955 head, with reports suggesting this week’s figure could top that amount as NI factories look to fill a market gap created by ongoing protests at Republic of Ireland sites.

Over the last five years, the weekly NI beef kill has only been above 10,000 head on six occasions.

Slaughtering and boning capacity in NI is limited, with labour often the main constraint.

However, some factories have brought in extra workers from the Republic of Ireland this week, which has effectively given them increased ability to kill cattle.

Saturday kill

It is also understood that a number of factories explored the option of a Saturday kill, but instead it looks like sheep kills are being squeezed.

Despite the strong number of cattle coming forward, factory buyers maintain they are booked out for next week as well, so while prices have steadied, and hardened slightly in some cases, there is no great upward momentum as yet.

Base quotes are stuck at 320p/kg for U-3 grades, although farmers report deals being done in the mid 320s, with more on offer for butcher-type heifers.

There had been reports of large numbers of Irish cattle coming north for slaughter last week

What happens to prices largely depends on how long Irish protests last.

There had been reports of large numbers of Irish cattle coming north for slaughter last week.

But that appears to be unfounded, with DAERA statistics showing that only 281 Irish cattle were imported for direct slaughter in NI.

Compulsory beef labelling rules require packs of beef to indicate where the animal was born (Ireland), reared (Ireland) and slaughtered (UK).

Retail options for beef effectively with dual nationality are limited.

Outlook

With big numbers of NI cattle being killed at present, it points to a significant tightening of supplies as the year progresses.

Analysis by the Livestock and Meat Commission (LMC) done in early July suggested that the number of prime cattle in the third quarter of the year would be down 5.5% on 2018, with the final quarter figures down 4.7%.

However, as we now approach the end of the third quarter, the 2019 figure for prime cattle is actually up nearly 2%.

Current industry estimates suggest that the backlog stands at 70,000 head

Tighter supplies usually lead to higher prices, but on the flip side is what happens the backlog of finished cattle in the Republic of Ireland.

Current industry estimates suggest that the backlog stands at 70,000 head.

“The longer the protest goes on, the worse this backlog gets. When it does come back to market it will have an impact right across the UK trade,” commented one source.

Another pointed out that with some contracts already lost by Irish beef companies, the only quick way to get these back will be to go in and undercut other suppliers.

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