Last week’s kill recorded further growth, with 374 extra cattle processed to reach 34,588 head. The higher kill is leaving the balance of power with factories, but strong demand is ensuring prices remain largely unchanged.

The exception to this is some plants, particularly in the southeast where numbers are currently stronger, that have managed to pull the steer base quote back 5c/kg to €3.75/kg. Other plants continue to pay a base of €3.80/kg to entice sales.

Heifers continue to stimulate higher levels of competition with the majority moving on a base of €3.90/kg. There are only small numbers selling for 5c/kg above or below this base.

The strong purchasing activity helped attract close to 500 extra heifers on to the market last week, with total heifer throughput recorded at 10,135.

The bull kill reduced 225 head to 5,290, with firm demand attracting out higher numbers since the turn of the year.

Prices are unchanged, with a difference of 5c/kg to 10c/kg remaining between some plants and even within plants depending on producer negotiating power.

U grades are selling from €3.80/kg to €3.90/kg, with bulls killing at higher carcase weights or below optimum fat cover at the lower end of the price range.

R grades are selling from €3.75/kg to €3.85/kg, with O grades from €3.55/kg all the way to €3.70/kg for well-fleshed O+ grading bulls.

Bulls less than 16 months and priced on the grid are selling on a base of €3.75/kg to €3.80/kg.

The cow kill eased back close to 200 head to 7,434 from last week’s peak throughput.

P+3 grades are selling from €2.90/kg to €3.05/kg, with regular sellers securing 5c/kg higher in cases where cows are traded in very large numbers.

Fleshed O grades are selling from €3.10/kg to €3.20/kg in general, with 5c/kg extra again up for negotiation with specialised feeders.

R grades are selling from €3.30/kg to €3.40/kg, with U grades in general to €3.45/kg, rising 5c/kg in plants specialising in the cow trade.

Steady NI prices

Northern prices are steady, with the U-3 base generally ranging from £3.40/kg to £3.44/kg and a top of £3.46/kg. At 85p to the euro and 5.4% VAT, this equates to €4.22/kg to €4.29/kg.

Securing prices above this range remains difficult, with sellers operating at the top of the market securing a base of £3.50/kg to €3.52/kg (€4.34/kg to €4.36/kg).

O grading cows are selling from £2.40/kg to £2.50/kg (€2.98/kg to €3.10/kg), with R grades rising to £2.60/kg and 5p/kg to 10p/kg at the top of the market.

The number of animals exported north for direct slaughter is running well behind previous years’ levels at 251 head for last week.

British prices are static, with R4L steers and heifers ranging from £3.60/kg to £3.65/kg (€4.46/kg to €4.53/kg).

The AHDB’s livestock outlook earlier this week forecasts 2017 UK beef production to reduce 2% to 890,000t.

The prime kill is forecast to rise 1% to 1.99m head, but 3kg to 4kg lighter carcase weights and the cow kill forecast to fall 8% to 615,000 head is predicted to reduce output.

The AHDB also predicted an increase in beef imports from Ireland, based on a growing throughput.

Meanwhile, Irish prices continue to lag behind the EU15 average.

Bord Bia analysis shows Irish R3 steers at €3.71/kg excluding VAT, 7c/kg below the average. The price is 50c/kg below British prices, nearly 30c/kg behind Italian R3 young bulls and equivalent to French R3 young bulls.