Any hopes of a recovery in beef prices stemming from an increase in demand for the Christmas trade are fading fast.

There is no sign of any let-up in throughput, with last week’s kill estimated in the region of 40,000 head again, with this week’s processing starting off on a similar footing.

The steer and heifer base prices are unchanged on a base of €3.75/kg and €3.85/kg respectively, with few deals above this range.

Bulls and cows

There is also no movement in bull or cow prices, with both categories of animals also meeting a longer period from booking to slaughter.

R grading bulls are unchanged at a price range of €3.70/kg to €3.75/kg, with U grades on a similar range of €3.80/kg to €3.85/kg.

There are isolated reports of higher prices secured by specialist finishers, but, again, these are not common.

Challenges remain with bulls weighing in excess of 400kg in some plants and up to 440kg in others, with plants less interested in what they deem over weight carcases.

This has only really become an issue in recent weeks and has been introduced at the same time as the number of bulls on offer has increased.

O grading bulls are trading from €3.50/kg to €3.60/kg, with O=/+ bulls at the higher end of the price range.

Bulls less than 16 months and trading on the grid are moving at a base of €3.70/kg to €3.75/kg.

Fat cover is a major determinant on price, with bulls returning a fat class of 2=/- in cases being paid off the grid or facing cuts of 10c/kg or the loss of the QPS in-spec bonus.

The cow trade is steadier, albeit at a low level.

P+3 grading cows range from €2.65/kg to €2.80/kg on average, with O grading cows trading from €2.75/kg to €2.90/kg.

A good percentage of R grading cows are being cut off at €3.00/kg, while heavy R grading cows are rising in many plants to €3.10/kg to €3.15/kg.

Brexit-related issues

Brexit uncertainty is once again leading to significant fluctuation in the value of sterling to euro.

The exchange rate on Monday evening weakened to 90.5p to the euro, down significantly from a recent average of 88.5p to the euro.

Downward pressure on beef prices in Northern Ireland and Britain continues.

Base U-3 steer and heifer quotes in the North range from £3.44/kg to £3.48/kg, with only those trading at the top of the market pushing returns to £3.50/kg.