Irish Cattle & Sheep Trade & Prices w/e 24/03
Cattle & Beef
Throughput: There were 33,106 cattle processed in DAFM approved plants during the week ending March 24th 2024, taking throughput for the year to date to 430,700 head. This is a 11,783 head or 3% increase on the corresponding period in 2023 when a total of 418,817 cattle were processed. There have been 305,811 prime cattle processed in the first 12 weeks of 2024, a 2% increase from the same period last year (+9,154 head). Within this however there has been a change in the slaughter mix with a notable decline in the young bull kill, which has been compensated for by higher steer and heifer throughput. Cow throughput has remained strong with 107,110 cows processed so far this year.
Prices: Prime cattle supplies have steadied, and this has been reflected in a steadying of the base quotes from the major processors. Base quotes this week are in the region of €5.15-5.20/kg for steers while starting quotes for heifers are around €5.25-5.30/kg. The trade for the smaller numbers of young bulls on offer remains steady with €5.20-5.30/kg available for R grading animals under 24 months of age.
The cow trade has remained solid despite the strong throughput in recent weeks. Well fleshed O grading cows are being quoted at €4.30 with €4.50-4.60c/kg available for good quality R grading cows. A significant proportion of the cow kill have achieved a conformation score of P in recent months and the prices available for these animals vary significantly based on grade, weight and quality.
EU and UK prices:
European young bull prices have held relatively stable in the early weeks of 2024. The average reported price for R3 grading young bulls was €5.06/kg (excluding VAT) for the week ending March 24th 2024. This is 9c/kg below the same week last year when the average R3 price was €5.15/kg. Tighter cattle supplies and firm demand have meant deadweight beef prices in the UK have remained strong but this week saw the average R3 steer price reduced to €5.73/kg (equivalent to £4.90/kg) for the week ending March 24th 2024.
Quotes: Base quotes for hoggets from the major processors have continued to firm this week with base quotes of 800-820/kg (+QA bonus) on offer with reports of higher prices available for producers with suitable hoggets and negotiating power. Tighter hogget supplies in mainland Europe combined with an increase in demand in the run up to the Ramadan festival is contributing to this uplift in the deadweight trade.
Demand for lamb on both the domestic and export markets has shown some signs of recovery as indicated by Kantar figures and Bord Bia’s own market insights. However, as the highest priced protein lamb continues to be the most exposed to shifts in consumer buying habits in response to high levels of inflation.
Prices: Deadweight prices have improved in line with increasing base quotes from the factories. Last weeks reported price increased strongly to 845c/kg, an uplift of 30c/kg from the week previous. In the same week in 2023 the reported price was €6.45/kg. The deadweight trade has also continued to firm in the UK regions with a reported price the equivalent of 978c/kg (-4/ckg) in mainland GB last week while the reported price in Northern Ireland was 813c/kg (+3c/kg). Southern Hemisphere prices remain well below European prices which makes Southern Hemisphere product very competitive on EU markets, even with the extra costs of transport factored in. The deadweight sheep trade is at record levels, driven by a combination of increasing demand in the lead up to Easter and Ramadan and tighter supplies for processing across Europe. Declines in the European sheep flock and a move towards killing lighter lambs in some regions to combat higher production costs have resulted in tighter availability of sheep for processing in the early months of 2024.
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