Factories have taken another 5c/kg off beef prices, with steers trading at a base of €3.75/kg and heifers at a base of €3.85/kg.

There are some deals being completed 5c/kg higher, but, as was the case in recent weeks, price pressure is ramping up for cattle moving later in the week.

Some factories also have a supply of cattle built up ahead of them and are selecting animals first which best suit their needs, with out-of-spec cattle meeting a slower trade in cases.

Talk of a further cut

In previous years, the week of the Ploughing has provided a reprieve to price pressure for at least a week, with factories steering away from negativity.

It appears this may not be the case this week, with agents talking about the possibility of a further 5c/kg being taken off beef prices next week.

It will be interesting to see how this unravels over the course of the Ploughing.

Downward pressure

Steers are making up over 40% of the kill, but there is also some downward pressure on cows and bulls, despite the relatively lower throughout levels.

R grading young bulls are trading at a price range of €3.75/kg to €3.85/kg, with U grading bulls trading on average from €3.85/kg to €3.90/kg.

Bulls less than 16 months and trading on the grid are, in the main, at a base price of €3.75/kg, but some sellers supplying large numbers are still securing a base of €3.80/kg.

The differential in price paid for cows is widening, with solid demand for heavy R and U grading cows, which are in tight supply. This is especially evident in mart sales.

R grading cows are ranging from €3.30/kg to €3.45/kg, with heavy U grades low in number and rising to a top of €3.55/kg to €3.60/kg.

P+3 grading cows are being quoted a price ranging from €3.00/kg to €3.10/kg, with O grading Friesian cows quoted from €3.10/kg to €3.20/kg.

Heavy O grading cows and those from the suckler herd are securing the higher prices, with top prices paid rising to €3.25/kg.

Northern trade

The northern trade is solid, with demand keeping a good floor under the trade.

Most plants remain on a U-3 base quote of £3.54/kg to £3.56/kg, which equates to €3.98/kg to €4.00/kg at 88.9p to the euro or €4.20/kg to €4.22/kg including VAT at 5.4%.

Regular sellers continue to secure returns rising into the low- to mid-£3.60s, with those trading at the top of the market pushing prices to the high-£3.60s and a top of £3.70/kg for in-spec heifers.