It’s like a cat and mouse game this week in the beef business. Ring a factory, get a quote, refuse it, they ring back with another quote or sweetener and the deal is done (or not).

In the northern half of the country, prices are holding steady, with €3.65/kg on offer for in-spec steers and heifers.

Further south, prices are under a little more pressure, with €3.60/kg being quoted for steers and an extra 5c/kg going for heifers in some plants.

Towards the west, prices are also under a little pressure, with one processor trying to get quotes to €3.60/kg, but €3.65/kg is being paid when pressure is applied.

Hereford and Aberdeen Angus cattle are still in demand, with flat deals of €3.75/kg to €3.90/kg going for suitable in-spec stock.

Young bulls are trading at €3.65/kg base on the QPS grid, which means that a U=3+ bull is coming into €3.95/kg if all bonuses are paid.

Older bulls are working off €3.50/kg to €3.55/kg for R grading bulls and €3.60/kg for U grading bulls.

Cows are back 5c/kg, with quotes for P grading cows coming in at €2.90/kg to €3.00/kg, O grading cows at €3.00/kg to €3.10/kg and R grading cows at €3.15/kg to €3.25/kg depending on numbers and quality.

Good-quality cows are still a very good trade in marts, with good northern demand for suitable cows.

Plainer cows are back a little in mart rings in the last few days, reflecting reduced factory quotes, but are still commanding a better price than the factory route, especially for those with small numbers.

Finished cattle supplies are very tight and factories are still anxious for stock, not letting any finished animals slip out of their net.

Farmers with numbers are being especially looked after, which would be a further sign that cattle supplies remain tight.

Total kill

Last week’s kill increased to 34,708 head. Up to 7 August 2020, the total number of animals slaughtered excluding calves was 1,051,831 so far this year.

This compares with 1,074,773 animals slaughtered during the same period in 2019. That’s just 22,942 less than last year.

At the beginning of the year, Bord Bia expected the national kill to contract by 55,000 to 60,000 head, so figures would point to further reduced numbers coming on stream in the next few months.

While there is farmer concern around factory closures due to COVID-19, the reality is that most, if not all, of the country’s beef factories are working way under capacity, so there is scope to ramp up throughput in other locations if a factory has to close.

Exports to NI

Exports of both store cattle and cattle direct for slaughter to Northern Ireland continue to perform strongly.

Last week, there were 667 head of cattle exported for direct slaughter, up from 622 head the week before and 587 the week before that.

There’s also been a massive increase in forward cows and heifers exported to NI for further feeding.

During July 2020, 2,360 cows and heifers were exported for further feeding, compared with just 395 during July 2019 and 522 during July 2018.

NI agents are still very active around southern mart rings.

IFA livestock chair Brendan Golden said: “Factories need to stop playing games trying to quote lower prices and then paying higher.

“Demand is still very strong in the UK and this needs to be reflected in quotes. Farmers should price around and bargain hard.”