The grade profile of the national beef kill has been gradually changing in recent years, with the percentage of cattle grading O and P increasing.

An analysis of the latest kill data available for the week ending 17 October is detailed in the tables below, which also show the change on the corresponding week in 2019.

It should be noted it is only one week’s kill, so it is not a concrete assessment of the kill profile. Nevertheless it does give a snapshot of the grading profile and what the breakdown of the kill looks like at present.

Starting with steers first, the kill is split evenly in the percentage of cattle grading R or better and the percentage grading O and P. The greatest percentage of animals are O grade at 39.1%. This is closely followed by R grades at 36.6%, U grades at 13.9% and P grades at 10.1%. There are slight differences when compared to the corresponding period in 2019.

Significant switch

There are slightly more animals grading U, which is likely due to a significant switch away from young bull beef production and these animals now entering the system as good-quality bullocks. There is also an increase in the number of P grading animals. This continues to be driven by a growing number of dairy males being born annually, many of which are born from crossbred cows with a poorer conformation and a focus in sire selection on short gestation and easy calving.

The trend profile for heifers is similar to steers, with an increase in animals grading O= / O- and across the three P subclasses. The number of animals grading R and O+ has decreased, although there have been some increases in better-quality animals.

Cow kill

The cow kill for that week reflects the increased number of cows now being drafted from dairy farms. A massive 82.9% of cows slaughtered graded O and P grade, with the latter being by far the greatest contributor and accounting for 48.5% of cows slaughtered. The average weight of these cows ranges from 250kg carcase weight to 276kg carcase weight for P grades, with O grades starting at an average of 316kg for O- grading animals, rising to 353kg for O+ grading cows.

Price update

Getting back to this week’s trade, there is no significant change, with a day’s less processing on Monday delaying trading activity. Numbers in the system remain strong and are being boosted by a seasonal increase in cattle coming off grass and a significant increase in the number of dairy cows being drafted.

The base quote for heifers remains at €3.65/kg. There are isolated reports of 3c/kg to 5c/kg higher being paid, but this is confined to sellers with the best negotiating power. Steers remain at a 5c/kg lower base.

Retail focus

Factories appear happy to handle higher numbers of heifers and steers, which is not surprising given the focus on retail sales. This preference is also helping demand for traditional breed steers and heifers. This focus is only likely to intensify as we move into November and factories start to fill orders for the Christmas trade.

Factory appetite for bulls is largely subdued. U grades are trading in the main in the region of €3.55/kg to €3.65/kg, with R grades 10c/kg lower. Demand for O grading bulls is being influenced strongly by carcase weight and fat cover, with low demand for poorly fleshed O grading bulls.

Prices range from €3.35/kg to €3.45/kg and it is advisable for producers fearful of bulls falling below a fat cover of 2+ to confirm potential penalties before drafting bulls.