27 October 2006

2 minute read

Oceania

Producer resistance lowers throughput

National saleyard numbers at MLA’s NLRS reported saleyards fell 18%, with northern centres particularly reduced. NSW throughput was 17% lower and Queensland down 42%, most likely due to a combination of some patchy storm rain and the sharp decline in prices in recent weeks.

Oakey was the only saleyard in Queensland to have a larger penning, albeit only minimal, as northern producers with adequate feed reserves held back stock. Southern Queensland has had consistently high numbers for some time, and the availability of cattle may now be beginning to decline as producers consolidate herds for the summer months.

In NSW, the scattered rainfall recorded in northern regions at the end of last week was just enough to encourage producers to sell less numbers through the physical markets. The larger centres of Tamworth and Wagga almost halved, while Casino had one of its smallest ever weekly yardings, with north coast vendors acting against the cheaper market trend. Some areas still hold the potential for restocking, although further rainfall is required, even in the most fortunate areas, for good summer pastures to eventuate.  

The western districts of Victoria also had a retreat in numbers, with reductions at Camperdown and Ballarat – although Warrnambool was slightly higher than last week. Gippsland remained similar, and the northern Victorian markets of Shepparton and Wodonga again provided large numbers. How long the large turn-off in numbers can continue remains to be seen; most cattle entering the market at present are being forced to sale through lack of feed and water reserves.

Source: mla.com.au