The past week has seen much smaller numbers of cattle sold around the country. This is because fewer sales are taking place as marts close up for the Christmas break.

While numbers this week have been smaller, overall throughput in marts for December is well up on last year, according to mart mangers. While November and December throughout is up on last year, the trade in September and October was lower than previous years as a direct result of beef price difficulties and widespread delays in getting cattle slaughtered, combined with lower prices and confidence at mart rings.

Cattle supplies

As farmers got cattle slaughtered, they were back in marts buying in November and December to shore up supplies into next year. This caused the average price paid for store cattle and weanlings to increase once again at marts. The higher prices enticed farmers to take advantage of the rising trade to sell stock they had not sold in autumn due to prices.

From mid-October to mid-November the average price paid for bullocks ran at about €1.84/kg or €1,012/head. By mid-December prices had increased to €1.96/kg or €1,080/head. Lighter weanlings saw price increases in the region of 10c/kg or €40 to €50/head.

However, the best-improved cattle were plainer quality types, with Friesian and Angus stores being met with the most demand. Some plainer store cattle saw prices improve by closer to 20c/kg or €80/head in the same time period. Farmer buyers and feedlot buyers were the main sources of demand for these.

Weanling prices still short of autumn peak

The peak price paid for weanlings occurred in last September when the average price paid for a weanling bull hit €2.33/kg or €816 for a 350kg bull, but prices fell by €80/head by early November. By mid-December, prices were running at €2.20/kg once again for a 350kg bull or €770/head.

Without exporter demand at the time, the weanling trade could have collapsed

Strong exporter activity combined with large numbers of high-quality types on offer in September were the main drivers of weanling prices at the time. Many mart managers have commented that the main single positive factor in the autumn weanling trade was the increased exporter activity.

They have said that without exporter demand at the time, the weanling trade could have collapsed as a result of weak demand stemming from difficulties getting cattle slaughtered and the absence of farmers from the market place as a result of still having beef cattle on hand.

Weanling heifer prices peak in December

Exporter demand created increased competition for bulls in September. However, as heifers were not in demand from exporters, they relied solely on farmer demand and didn’t see the price peak that bulls saw in September. Instead, heifer prices peaked in December at €2.20/kg, or similar to bulls.

Again, this was fully farmer driven at the time. When compared to the previous year, weanling heifer prices were actually 5c/kg or €15 to €20/head stronger in December 2019 when compared to December 2018.