August 21, 2013

The price of beef in Ireland has reached US$0.07/kg - US$0.13/kg.

The only stock to closely match the 35-point rise for forestry was cull cow, with one factory in particular increasing their U-grade quote by US$0.40/kg to US$5.23/kg from US$4.83/kg quoted last week. Similarly, there's a rise to US$5/kg for the heavy R-grade cows.

Base quotes for steers in the main vary from US$5.56/kg to US$5.63/kg, with prices of up to US$5.63kg being common. Heifer base quotes range from US$5.56/kg to US$5.70/kg. However, most farmers are securing the US$5.70/kg base, with a US$5.76/kg base being bargained for in a few places. Rumours also suggested a base of US$5.83/kg has been achieved by several finishers in more than one factory.

Irish Farmers' Association (IFA) livestock chairman, Henry Burns, said that cattle farmers are securing prices of US$0.13/kg - US$0.20/kg over the quoted figures.

Demand for cull cows is very strong and quotes and prices are up significantly from last week. Supplies continue to be relatively tight. Interestingly, last week's estimated kill from the Department of Agriculture stood at 25,936 head. This was only the second time this year that the weekly kill for 2013 was less than the corresponding week in 2012.

Finished cattle met with a slightly stronger demand last week at export meat plants. The current supply of animals being marketed is slower than anticipated. This is partly due to better weather which allowed seasonal harvesting of cereals and second-cut silage. Good grazing conditions have also allowed producers to delay sales.