The beef trade continues to show slow signs of improvement, with a number of factories now moving to €4.40/kg to secure heifers. This is an improvement of 5c/kg on last week.

There are still a number of processors able to buy heifers at €4.35/kg, but the pressure is coming on to increase quotes

Bullocks continue to be quoted around the €4.30/kg mark, with €4.35/kg being paid to those with bigger numbers.

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Hereford Prime producer group has announced a new off-season bonus of between 20c and 25c/kg on under-30-month bullocks and heifers killed between March and May this year. The bonus is on top of any grid bonuses and the in-spec quality assurance bonus.

Over-30-month cattle are also attracting a little more interest in the last couple of weeks, with base prices of between €4.25/kg and €4.40/kg being paid for bullocks and heifers, depending on who you are and how many cattle you have.

Cow price

A number of specialised cow operators are still very active to secure supplies, with €4.00/kg to €4.10/kg being paid for good R grading cows. U grading cows are trading at 10c/kg higher.

O grading cows are coming in at €3.75/kg to €3.85/kg. Better suckler O grades are pushing into €3.90/kg if part of a load.

P+3 cows are being quoted at €3.70/kg to €3.80/kg.

Factory agents remain particularly active around mart rings sourcing heavy cows. A high number of cows moved north last week for direct slaughter out of marts.

Bulls

Bulls are in demand, with a number of factories now paying €4.45/kg for under-24-month U grading bulls, with €4.30/kg to €4.35/kg being quoted for R grading bulls.

Some factories are paying €4.20/kg to €4.30/kg for mixtures of O and P black and white bulls.

Under-16-month bulls are still working off €4.25/kg on the grid, but €4.30/kg has been paid to those with bigger numbers.

Last week’s kill came in at 35,224, up just over 1,200 head on the week before, with the bull kill remaining over 4,000 for the second week running.

IFA livestock chair Brendan Golden said: “Market conditions are strong and steady in our key export markets and factories must push on with prices to reflect the increased production costs beef farmers are facing.”

Across the water, the Agriculture and Horticulture Development Board (AHDB) has predicted that the widening beef price differential between Ireland and the UK will make Irish exports to Britain “increasingly attractive” this year.

Increased UK beef sales in the eating-out market following the lifting of COVID restrictions will also drive demand for Irish product.

“With Irish cattle currently at an increased discount to UK animals, imports are likely to become more attractive, especially if domestic food service demand increases,” the AHDB outlook for 2022 states.

Strong demand for beef in Britain continues to be driven by reduced domestic supplies. UK beef production fell 5.6% between 2020 and 2021

NI comment

There is more of an edge to the Northern Ireland beef trade this week, with some plants raising base quotes by 2p/kg to 396p/kg (€5.03/kg) for U-3 grading animals.

Most deals are similar to last week for steers and heifers, but there are reports of factory agents offering an extra 2p/kg to regular finishers.

Steers are generally moving around 408p/kg (€5.18/kg), with heifers on 410p/kg to 412p/kg (€5.21 to €5.24/kg). Bulls are a harder sell, with prices in line with base quotes.

Cull cows are in demand and deals are running well ahead of base quotes.

Good-quality suckler cows are making above 320p/kg (€4.06/kg), with young cows in particular attracting higher prices.