Weekly Australian Cattle Summary

8 March 2010

11 minute read

Oceania

South Australia weekly cattle summary

Numbers increase

While cattle numbers fell at the SA LE and was probably due to the previous weeks lower priced sale; Naracoorte’s larger yarding attracted a dearer trend due to the solid SA, Victorian and NSW competition. Mt. Gambier’s numbers increased and tended to sell at fluctuating prices that was mainly due to quality slipping on all categories, and probably due to recent cold nights and mornings. Millicent agents put together a larger yarding which featured more of that districts renowned bean finished yearlings.

The SA LE’s sale attracted a mainly dearer trend from the usual trade and processor buyers, with feeder and restocker orders bidding strongly on suitable lightweight vealer and yearling steers and heifers. Vealer steers in limited numbers to local butchers and wholesalers, with feeder orders sourcing the majority. Lightweight yearling steers and heifers were also sourced by feeder orders at dearer levels.

Cow prices started to improve, although are still a far cry from South Eastern prices where most cows have been selling between 125c/kg lwt. Naracoorte’s yarding featured some excellent quality prime vealers and some magnificent supplementary fed yearlings that attracted solid bidding from the regular buyers at dearer levels, particularly when an Adelaide Hills operator tangled with a Swan Hill and Geelong buyer.

While quality slipped at Mt. Gambier there was still solid competition from the usual local and interstate buying contingent. Feeder and restocker orders were also active on the young cattle.

Erratic trends

Vealer steers to the trade sold from 180c to 214c for the B muscled and 170c to 206c for the C muscled, at prices unchanged to 11c/kg dearer. Feeders and restockers secured C2 steers from 162c to 193c, with some sales 6c dearer, and others 2c to 4c/kg cheaper. Vealer heifer sales varied from 1c to 4c cheaper and 2c to 11c dearer to the trade, and mainly between 160c and 200c, with isolated sales to 217c/kg. Feeders and restockers sourced C and D muscled heifers from 145c to 175c/kg. Yearling steers to the trade sold from 162c to 193c with supplementary feds at the higher end and most sales 5c to 15c/kg dearer. The C2 steers to feeders and restockers sold from 151c to 182c/kg. Yearling heifer C3 and C4 sales were 3c dearer selling from 150c to 180c, with D3 sales 132c to 158c/kg. Feeder purchases were mostly from 142c to 170c/kg.

Grown steer C3 to C5 sales sold at basically unchanged rates that left most selling between 162c and 186c/kg, and averaged around 320c/kg cwt. Cow prices were 1c to 7c dearer, with beef 3 to 5 scores selling from 110c to 154c/kg, or 265c to 300c/kg cwt.

Western Australia weekly cattle summary

Increased trade inquiry

The dry and hot conditions have continued in the majority of Western Australia with the harsh conditions remaining in much of the mid northern pastoral regions. There has however been some limited rainfall recorded in and around the southern coastal regions. Feed levels continue to constrict in the Ag regions with an increase in supplementary feeding. Calving is also on the increase for a reasonable percentage of this years drop now on the ground. The bull selling season has now all but been completed and pricing has been reasonable.

This week saw the end of the two day sales format in the Great Southern, with a return to a Thursday only market. Consequently there were fewer cattle marketed through physical markets. Vealer supplies remained reasonable across the three weekly markets. The numbers of trade weight yearling steers and heifers continued to be constricted with heavy weight export steer and heifer volumes remaining very limited.

Cow volumes remained reasonable, but it is expected that these supply levels will constrict in the near future, given the time of year. Trade demand continues to show marginal increases with the majority of slaughter classes seeing rates rises. Feeder demand also remains buoyant as the flow of vealers slows. Restocker demand has also rebounded after the slow start that was caused by the poor seasonal conditions in the southwest last spring. Live export demand has also slowed with the seasonal demand seen in the southern parts of WA now nearing an end.

Cow market continues to rise

The quality and weight of vealer classes remained mixed with the majority of producers now well into their third and fourth drafts with most having now sold their drops. The markets for the majority of both steer and heifer classes recorded increased competition from both the feeder and restocker sectors and subsequently there were slight but discernable increases in values. The quality of yearling trade weight steers and heifers was also very mixed with only limited supplies of prime grades available for the processing sector. Demand and pricing for these remained stable with little or no change realised in rates. The tight supplies of heavy weight steers and bullocks remained. Both of these classes realised an increase in processor demand and competition with values dearer at both selling centres. Heavy weight mature heifer values were also dearer due to an increased trade competition.

The cow market continued its slow but steady rise as values were again a few cents per kilo dearer. Heavy weight bull values increased under a strengthened competition from the processing sector and again included one eastern states order. Live export demand for lightweight bulls was limited with the majority purchased by export feeders.

Victoria weekly cattle summary

Strong demand

Cattle supply increased across all centres reported by MLA’s NLRS. The majority of the rise was due to the upcoming Labour Day public holiday which is going to impact on markets on Monday and Tuesday. However the recent improving prices and with quality starting to fall away in some areas were also factors in the extra supply.

However, while numbers increased, the lack of cattle in NSW and in particular Queensland due to rains has kept demand very strong. Prices were dearer with only the plainest lines selling to cheaper levels. More heavy rain in the northern states possibly led to further price rises for bullocks and cows, but the lack of boxed beef coming down into Victoria has driven up prices for other cattle as well. Prices across most classes of cattle were between 2¢ and 10¢/kg dearer.

Not having the amount of boxed beef on hand has led to a rise in demand for vealers, which peaked at 221¢/kg. However, increased prices for yearling steers and heifers across all states assisted in a rise of 5.75¢ to the EYCI, which closed at 344.50¢/kg cwt. Strong demand for trade and export cattle was complimented by feedlot competition, and producers seeking supply as well. There were some notable purchases by restockers with prices of 180¢ to 215¢/kg recorded.

The mountain cattle weaner sales are on in East Gippsland next week, and after that there will be few opportunities for those wanting stock to feed or grow out.

Improving prices

The increased demand for vealers resulted in a top price of 221¢/kg received for medium and heavy weight vealers. Across most markets a range of 185¢ 220¢/kg was achieved for B muscle vealers, however strong demand for lightweight vealers resulted in them receiving larger rises. Prices for C muscle vealers were anywhere between 165¢ and 210¢/kg.

As demand increases for grown steers, bullocks, and cows, so does the need for other cattle. All abattoirs are working fewer hours, which is increasing demand. Yearling steers made from 155¢ to 189¢, and most heifers ranged from 145¢ to 178¢/kg.

Grown steer and bullock fatteners, particularly those in South Gippsland have been waiting for prices to lift, and a much larger penning at Leongatha included a lot of heavy and extra heavy bullocks to 850kg lwt. Generally across the state most made from 158¢ to 185¢ with isolated sales of grown steers to 195¢/kg. Good quality beef and dairy cows made between 132¢ and 154¢, as the lean cows made between 102¢ and 142¢/kg. Carcase weight prices were around 264¢, however, later sales in the week were averaging closer to 278¢/kg cwt.

Queensland weekly cattle summary

Floods reduced numbers

Rain plus more rain followed by some serious flooding will eventually be a major boost to the larger cattle producing areas of the state. With floodwaters closing a number of roads in the south of the state the supply of stock at physical markets covered by MLAs NLRS fell by 66 per cent. Persistent rain across the Maranoa region continues to prevent the movement of stock resulting in both the Roma store and prime sale being postponed to late in the week.

Markets early in the week only suffered small reductions in supply as most stock were in transit before the rain commenced. However as the week progressed and the heavy rains moved east Dalby experienced a massive drop of 90 per cent in supply. The overall quality at Toowoomba was boosted by the Millmerran Show prime cattle exhibits and the standard at Warwick was fair to good with some large runs of feeder descriptions plus a fair line-up of bullocks and a good mix of cows.

The reduced supply at Dalby contained a fair selection of heavy yearling grades to the trade, while the majority were most suited to restockers and feeder operators. Heavy steers and bullocks were limited to just a few pens while a fair sample of cows contained mainly 4 score classes. Restocker's displayed the most strength in the market and values lifted accordingly. Slaughter descriptions of yearling steers, bullocks and cows received small improvements, nevertheless did not share the same enthusiasm as the feeder and restocker grades.

Cows dearer

Calves to the trade averaged 176¢ and restocker classes reached 215.2¢ with most around 199¢/kg. Vealer steers mostly sold around 180¢, with isolated sales to restocker's reaching 234.2c/kg. Vealer heifers generally sold in the 170¢/kg range with a few heavy grades to local butchers making to 201.2¢/kg. Light and medium weight yearling steers to feed averaged in the high 180¢ with a few sales over 200¢ and heavy classes to feed mostly sold around 183c/kg. Lightweight lines to restocker's made to 207.2¢ to average 197¢, and heavy descriptions to the trade averaged 181¢ and sold to 193.2¢/kg. Medium weight yearling heifers to feed generally sold around 178¢ with sales to 185.2¢/kg. Medium and heavy lines to the trade improved 9¢ to 11¢ to average 175¢ with the occasional B muscle description reaching 212.2¢/kg.

Heavy steers to export slaughter averaged 179¢ and bullocks averaged 2¢ better at 181¢, some certified grainfed's reaching 192.2¢/kg. Medium weight 2 score cows averaged 3¢ dearer at 122¢ while 3 scores lifted 5¢ to 135¢/kg. Heavy 3 scores averaged 4¢ better at 137¢ and the 4 scores were 3¢ dearer at 147¢/kg.

New South Wales weekly cattle summary

Quality and prices strong

Supply across the state was down 22 per cent week on week at MLA’s NLRS reported markets with Armidale, Casino, Gunnedah, Inverell and Wagga recording the largest falls. The reduced numbers in the North of the state were a result of rainfall restricting the movement of cattle.

The smaller consignments continue to be met with strong demand. Most of the usual buyers are present at all markets and they are being pushed by restockers who are looking to take advantage of the abundance of feed now available. Buyers from Queensland struggling to fill their orders locally are also adding to the competition as they look to secure reasonable supply.

Quality across the state remains mixed with some pens yet to take advantage of the green conditions. A number of cattle suitable to restockers and lotfeeders were offloaded by producers looking to take advantage of the recent high prices. The majority of the yardings have been in fair to good condition particularly vealers which continue to be highly sought after by all buyers. Yearling and grown cattle yardings varied with limited supply at some markets although demand remains strong.

The indicator grades varied across the state with most selling to a dearer trend. The C2 vealers to restockers gained 9¢ while those going to the trade were up 8¢/kg. Trade weight yearling steers back to the paddock gained 2¢, C2’s to slaughter gained 8¢ while C3’s to processors lost 1¢/kg. Grown steers and bullock prices were mixed, the lightweight consignments lost between 1¢ and 5¢ while the heavier lots and most cow grades gained between 2¢ and 5¢/kg.

Extra competition drives prices

Restockers continue to drive higher prices across the state. Calves to restockers gained 11¢ to 15¢ to reach a high of 244¢/kg. Both steer and heifer vealer prices also realised gains across all weights of 8¢ to 12¢/kg. Medium weight vealer steers to restockers ranged from 170¢ to 226¢ to average 206¢/kg. Those going to the trade were also higher to average 205.4¢/kg.

Yearlings were strongly sought after by all buyers and the higher prices reflected this. Lightweight steers to feed were 9¢ stronger while those going back to the paddock gained 4¢/kg. Trade weights to feed and restock also saw reasonable gains although those going to slaughter were 1¢/kg back. Heavyweights to all buyers gained between 4¢ and 11¢/kg. Yearling heifers followed the dearer trend with lightweights to feed averaging 172¢ a gain of 6¢/kg.

Grown cattle were generally dearer, medium weight steers were mostly purchased by lotfeeders at prices from 157¢ to 187¢ a gain of between 2¢ and 6¢/kg. Heavy steers and bullocks also reached prices 2¢ to 5¢/kg higher than last week. Cows generally lifted around 4¢/kg. Medium weight D2’s averaged 124¢; D3’s averaged 124¢ and D4’s 141¢/kg.

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