Supplies of finished cattle are tightening which has led processors to increase beef prices this week by 2p/kg to 5p/kg.

Most cattle are now moving from a base of 358p/kg to 362p/kg, with 365p/kg paid to more regular finishers.

Throughput of heavy-fleshed cattle in marts has tailed off significantly in recent weeks.

However, buying demand remains sharp and with finishers competing for a limited pool of cattle, prices are also edging upwards in the marts.

Based on Irish Farmers Journal MartWatch data, steers weighing over 600kg are averaging 212p/kg making a 680kg animal worth £1,445. That equates to a beef price of around 380p/kg. Top-quality U grade cattle are making upwards on 220p/kg in the live trade, the equivalent of 385p/kg at 55% kill-out.

As numbers of heavy cattle tighten, finishers have turned their attention to buying forward stores that suit a short, intensive 60- to 100-day finishing period. One of the main reasons for tighter numbers now is the higher number of cattle presented for slaughter during January and February this year as farmers looked to move cattle quicker with earlier housing last autumn and limited fodder supplies.

Kill figures to 3 March indicate that 61,652 prime cattle and 18,981 cows have been processed. This puts the prime kill up 1,300 cattle on the same period in 2017, with cow numbers up by 1,000 head. The total kill to date in 2018 is the highest seen since 2011.

EU beef prices

Meanwhile, NI has the fifth highest beef price within the EU. The average price over January and February was 354.36p/kg for R3 heifers, compared with the EU average R3 heifer price of 342.15p/kg.

Sweden has the highest beef price in the EU, averaging 397p/kg over the same period. Britain is third, after Italy, averaging 363.8p/kg. Ireland is sixth, on 351.6p/kg.