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Trading conditions within the beef sector remain challenging and this continues to have a negative impact on finished cattle prices.
Adding to the problem is the oversupply of finished cattle coming on to the market, with some agents reporting that supplies are unseasonably strong for June.
With cattle numbers exceeding demand, several processors are fully booked for next week, with one plant moving to a four-day kill week.
As such, factory agents are reluctant to commit to a definite price so far in advance of cattle being processed.
Processors have moved to reduce quotes by as much as 4p/kg, which puts prime cattle on a base of 326p to 332p/kg for U-3 grading animals, with some plants offering 334p/kg on heifers.
Negotiating beyond base price has been a struggle for farmers offloading smaller numbers.
Indications are that cattle are moving freely at 332p to 336p/kg for steers and young bulls, with 338p/kg at the top end of the market. Deals of 340p/kg and better appear to be limited to specialist finishers or those who are on supply agreements.
Heifers are moving at similar prices to steers, but more is on offer where larger numbers of in-spec animals can be offered.
Last week, the average price paid on steers and heifers fell by 1.8p/kg to 336.46p/kg, with U3 steers down 1.3p/kg to an average of 342.7p/kg. Heifers averaged 347.1p/kg, down 2.9p/kg for U3 animals.
While domestic prices have eased, they are still running ahead of the EU average, which is 340.7p/kg for U3 steers and 345p/kg for heifers.
Prices in Britain have also eased, with R4L steers falling 4.3p to 353.2p/kg and heifers down 2.6p to 354.6p/kg.
Cows
Downward price pressure is also filtering through to the cull cow trade, with one plant reducing base quotes by 4p/kg. Quotes on R3 grading cows are typically 260p/kg, with O+3 animals on 250p to 255p/kg.
Lamb trade
The lamb trade has firmed this week, with a base of 430p/kg on offer. This makes a lamb worth £90.30 at the 21kg weight limit. The mart trade is firm, with Rathfriland on Tuesday evening up by 7p/kg on average.
In Kilrea, 300 lambs sold from 410p to 436p/kg, up by 10p/kg.
In Massereene, 636 lambs made from 410p to 450p/kg, up by 10p/kg for heavier lambs and 23p/kg for lighter lots.
In Saintfield, 406 lambs made 392p to 406p/kg, up by 16p/kg for lighter lambs. Auctioneer Geoffrey Murphy reported a top price per head of £97 for 25kg Charolais lambs, with £96 paid for 22kg Texels, while £91.50 was paid for a pen of Charolais lambs at 21kg.
Rathfriland had a great trade, with 540 lambs selling from 395p to 450p/kg and an average of 422p/kg, up by 7p/kg on last week. Top was £97.50 for 24kg, with £95 paid for 23kg and £89 for 21kg.
Ewes
The fat ewe trade is steady, with top prices of £100 or more. Omagh sold to a top of £106/head and in Swatragh, ewes made £118. In Massereene, the top was £102 and in Saintfield, ewes sold to a top of £100. In Rathfriland, trade was good with a top of £109 and plenty of ewes making £95 to £105.
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