October 28, 2008

Most indicator cattle prices were cheaper again this week as the seasonal turnoff continues. Numbers at MLA's (Meat and Livestock Australia) NLRS (National Livestock Reporting Service) reported sale yards were 1 percent higher than last week.

The large numbers and the total mixed quality of available cattle were major factors behind the cheaper trend. The slow export market, despite the lower A$ is also hindering physical markets and direct to work rates.

Victorian indicator prices fell by at least 10¢/kg lwt across all grades with large numbers from the norther markets of Shepparton and Wodonga, now being supported by rising Gippsland yardings. Victorian numbers lifted by 12 percent from last week. Yearling steers in Victoria averaged 12¢ lower, at 177¢/kg lwt.

With more southern cattle entering the market, the Eastern Young Cattle Indicator dropped 16.75¢ from last week, to finish Thursday, 23 October 2008 at 336.75¢/kg cwt. The national Japan ox indicator was 11¢ less, at 183¢/kg lwt but remains 18¢ above the same time last year.