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Factory agents are more cautious in purchasing activity and are putting across a view of a steadier trade.
Sellers who last week achieved a higher base of €3.80/kg for steers and €3.90/kg for heifers are having to dig in hard to secure similar quotes. This leaves the greatest percentage of cattle trading at a base of €3.75/kg for steers and €3.85/kg for heifers.
However, it is worth noting that while factories may be trying to use talk of a higher kill to quell momentum, they are also eager to maximise throughput and not miss out on any potential deals.
Last week’s kill increased 316 head to 39,112. This is 2,971 head above the corresponding week in 2017, bringing year-to-date throughput 51,086 head above 2017 levels.
Volumes of beef do not match the extra kill, with steer and heifer carcase weights to the end of August 7kg to 8kg lower on average and cows 15kg lower.
However, it is hard to compare 2017 to 2018, with cattle housed early in 2017 and contributing to an average kill of over 39,000 head from early November to mid-December.
With higher numbers moving off grass this year, it is difficult to gauge if this high throughput will be repeated.
P+3 grading cows range from €2.95/kg to €3.05/kg, with fleshed O grading Friesians ranging anywhere from €3.00/kg to €3.15/kg, while coloured or continental-cross cows remain capable of securing a 5c/kg to 10c/kg higher price. This depends on the purchasing plant and numbers on offer.
R grading cows range from €3.35/kg to €3.45/kg, with heavy R and U grading cows selling brisk in mart sales.
Bull throughput is slowly rising, as can be expected at this time of year, with last week’s kill up 250 head to 3,235.
General prices for R grading bulls range from €3.75/kg to €3.80/kg, with U grades from €3.85/kg to €3.90/kg. Prices paid to specialist finishers producing bulls to tight specification are 5c/kg to 10c/kg higher.
Northern trade
Northern plants are also handling higher numbers, with the prime kill rising 378 head to reach 7,432.
Base quotes remain at £3.50/kg to £3.54/kg, which at Wednesday afternoon’s exchange of 88.1p to the euro equates to €3.97/kg to €4.02/kg and €4.19/kg to €4.24/kg including VAT at 5.4%.
Regular sellers are pushing base quotes 2p/kg to 4p/kg higher, with top returns for heifers rising to £3.60/kg (€4.31/kg incl VAT), while producers with Angus cattle are in a strong selling position.
The latest AHDB price report shows an easing of 2p/kg to 2.5p/kg in British steer and heifer prices. R4L steers average £3.81/kg (€4.55/kg), with R4L heifers averaging £3.78/kg (€4.51/kg).
Strong live exports
The latest Bord Bia figures for the week ending 14 October 2018 show 2,996 head exported that week, an increase of 1,577 on the corresponding week in 2017.
Within this, 777 head were exported North (up 103 head on corresponding week in 2017), 968 to Spain (up 734), 540 to Italy (up 305), 214 to Britain (up 210), while Poland imported 362 head (51 calves, 223 weanlings and 88 stores) and Germany 105 weanlings.
Year-to-date exports, at 215,006 head, are running 49,106 head above 2017 levels.
Spain has developed as the main market for Irish live exports in 2018 and has added weanlings and stores to calf imports, providing a good lifeline for plainer-quality weanlings.
The most recent consignments included 314 calves, 587 weanlings and 67 stores. The previous week comprised 414 calves and 419 weanlings, while the week ending 30 September saw 854 weanlings, 382 calves and 80 stores exported.
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