The predominant trend for 2014 has returned. This marginal increase in throughput does not justify the pressure on price.

Last week’s kill was back up to 29,227. In general, higher throughput has been a feature of the trade since the start of this year. The average weekly kill year to date has been 30,978. This compares to 27,629 for the same period last year.

Analysis of kill data for the first six months of the year shows the kill running at its highest level since 2007. At 960,327 head, it is running 103,840 head above the first seven months of 2013 and over 184,000 head greater than 2012 levels.

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Steers and heifers: Factories continue to quote €3.70/kg as the base for steers. This week they are, however, becoming more reluctant to move above this. In some cases less emphasis is put on the 400kg carcase than in previous months. There are, however, plants that are enforcing the carcase limits again.

The increase in the kill last week mainly came from steers rising from 10,719 the week before to 11,793 this week. Steers are being moved on before they reach 30 months of age. Cattle above 30 months are not eligible for the QPS bonus which can be seen as a 12c penalty.

Cattle born on 15 February 2012 will reach 30 months of age on 15 August. Some factories continue to implement a 10-20c/kg cut on base price for Continental and Friesian steers respectively. Including the QPS cut, this is a 22-32 c/kg penalty for going over 30 months.

Weather and grass growth are in farmers’ favour. The date on the card needs to be in their favour too. Heifers are being quoted at €3.70/kg to €3.75/kg with very few reports above this. Tough selling is securing the €3.75/kg. These prices exclude the 12c/kg QPS bonus and are for quality assured cattle under 30 months of age.

P and O grade steers are securing prices in the region of €3.50/kg and €3.60/kg.

Bulls: Under 16-month-old bulls are making €3.55/kg to €3.60/kg on the grid. This excludes the 12c/kg QPS bonus. R grade bulls over 16 months old are ranging from €3.40/kg to €3.60/kg. Up to €3.70/kg is available for U grade animals. Farmers with bulls for sale should make sure that they are clear on the agreement made between them and the factory. They need to ask are they going on the grid? Are they going to be cut for going overweight, and if so what is the cut-off weight? Some factories are allowing up to 440kg, while others are not.

Cows: Demand for cows remains steady. P grade cows are commanding from €3/kg to €3.10/kg. O grade cows are making €3.10 with some farmers getting up to €3.20/kg for fleshy cows. R grade cows are making from up to €3.30/kg to €3.40/kg and there are still reports of U grade cows making up to €3.60/kg.

Northern Ireland and Britain: Despite the pressure coming on prices in the south, we saw the largest volume of cattle so far this year exported to Northern Ireland, with 680 cattle going across the border this week. Scarcity of cattle, sterling and moves on labelling issues are likely drivers.

The UK market has been more balanced in recent weeks. The all prime deadweight average price has fluctuated in the region of the €4.10/kg (325p/kg) for in the region of six weeks now.

May saw the UK import 20,000t of fresh and frozen beef from Ireland. UK trade data indicates a 16% rise in beef imports from Ireland in the first five months of 2014. A recent EBLEX report has said that this “undoubtedly added price pressure on the UK market”.

The latest AHDB/EBLEX reports indicate that, somewhat similar to Ireland, for the latter part of 2014 and into 2015 supplies of cattle will become tighter. Overall supplies on the UK market for 2015 are forecast to be lower than 2014.