Tight Beef Supply Drives Deadweight Prices Sky High Across UK, Reports Farmers Weekly

UNITED KINGDOM – May 1, 2025 – The British beef sector is experiencing unprecedented price hikes, with deadweight cattle prices soaring by nearly 40% in just nine months due to a significant tightening of both international and domestic beef supplies. According to Farmers Weekly (FWI), the market is bracing for continued high prices.

Hybu Cig Cymru (HCC), the Welsh red meat promotion body, forecasts that deadweight prices will remain consistently above £7/kg, with weekly increases already being observed. This surge sees prime cattle deadweight prices in England and Wales now sitting an impressive £2/kg higher than during the same period last year.

The increase in prices is directly linked to reduced availability. For the first quarter of 2025, UK prime cattle throughput was down 3% year-on-year, indicating fewer animals coming to market.

This sharp rise in deadweight prices is inevitably impacting consumers, who are facing retail beef prices that have increased by approximately 20%. The dynamic underscores a challenging period for consumers, while producers potentially benefit from stronger returns, albeit within a constrained supply environment.

Red Tractor Launches Consultation on Tiered Welfare Standards for UK Pork

Red Tractor, the UK’s leading food assurance scheme, has opened a six-week consultation to gather feedback from pig producers on a proposed tiered welfare labelling system for UK pigmeat. The initiative aims to improve transparency for consumers, reduce audit burdens for farmers, and raise awareness of higher-welfare pork production.

Proposed Welfare Tiers for UK Pigmeat

Building on the success of the poultry tiering system introduced in 2020, Red Tractor’s new proposal introduces two voluntary welfare tiers for the British pig sector:

• Enhanced Welfare Tier: Covers pork from pigs that are either outdoor-bred or outdoor-reared, and finished indoors with extra space and a solid, bedded lying area.

• Free Range Tier: Applies to pork from pigs with continuous outdoor access throughout their lives.

Each tier will feature its own distinct Red Tractor label, helping consumers easily identify different welfare standards while maintaining the integrity of the core Red Tractor assurance.

Updates to Existing Standards

Alongside the new tiers, Red Tractor is also proposing minor updates to current pig welfare standards. These adjustments aim to align the scheme with other assurance programmes and reflect industry best practices. Changes will only be implemented with the support of the UK pig farming community.

Industry Backing and Long-Term Vision

Stewart Houston, Chair of the Red Tractor Pigs Sector Board, emphasised the benefits of the proposed tiered labelling system:

“This would offer a clearer, simpler way for members to communicate their welfare credentials. It empowers consumers to make more informed buying decisions and aligns existing pork welfare tiers under the Red Tractor brand.”

Houston highlighted that many pig producers already meet these proposed standards. The new labelling structure would help streamline compliance, reducing costs associated with audits and licensing.

Looking ahead, Red Tractor is also considering a ‘Certified Standards Plus’ tier focused on flexible farrowing systems, which provide reduced confinement for sows. This forward-thinking tier would allow the industry to proactively improve animal welfare without the need for restrictive legislation.

“This approach shows industry leadership, offering practical solutions that keep pace with evolving market expectations and societal concerns,” Houston added.

Original source: Farming UK

Weekly Cattle and Sheep Market Wrap

Key Points

• Restocker cattle demand reflects the impact of the rainfall events of the last month.
• The National Mutton Indicator continues to recorrect.
• National cattle slaughter lifted above 150,000 head for the first time since June 2019.

Australia is heading into a series of public holidays that are expected to disrupt regular operations at saleyards and meat processing plants across the country. Market indicators and processing volumes will be impacted over the upcoming weeks. MLA will continue monitoring the prices and markets and return to regular market commentary once all saleyards are back online.

Upcoming National Public Holidays

• Easter: Friday 18 April – Monday 21 April
• ANZAC Day: Friday 25 April
• Labour Day (Queensland) and May Day (NT): Monday 5 May

A list of affected sales can be found in the article here.

Cattle Market

The mixed results in the cattle market this week were due to the volatility of supply in saleyards. This was caused by interrupted sales, with reduced yardings the week prior.

As the effects of the Queensland and NSW rain are realised in feed, confidence in the market has been reflected in the lifting of the Restocker Yearling Heifer Indicator and Restocker Yearling Steer Indicator. Despite a lift in indicator yardings, both indicators lifted 4¢ last week to 328¢/kg liveweight (lwt) and 401¢/kg lwt, respectively.

Finished animals did not fare well this week, with the Heavy Steer Indicator easing 16¢ to 356¢/kg lwt. This has further separated the gap between the steer indicators as the market reflects the weight of gaining confidence. The Processor Cow Indicator similarly fell, easing 13¢ to 284¢/kg lwt, a seeming correction of the spikes seen last week.

Sheep Market

The sheep market was similarly mixed this week. Similar to cattle, yardings were impacted by interrupted sales.

Finished stock remained relatively stable, with the Heavy Lamb Indicator and Trade Lamb moving sideways to 815¢ and 801¢/kg cwt.

Restocker lambs eased to 669¢/kg cwt, driven mostly by confidence in NSW markets pulling prices up last week, and a lack of competitive pulling them back down. The National Mutton Indicator continued its decline, down 78¢ to 431¢/kg cwt, despite a significant reduction in the supply of mutton through yards. Moving through autumn, it is likely we will see a continued reduction in supply.

Slaughter

Week Ending 11 April 2025

Processing volumes for the week ending 11 April lifted from last week as processors recovered from the impact of the floods in Queensland and prepared for several weeks of interrupted processing. Processing volumes tend to lift in the week before Easter, and this year’s increases are in line with this historical trend.

The next two slaughter reports will be impacted by the upcoming short weeks.

Cattle Slaughter

National slaughter lifted 6% to 152,180 head, thanks to significant lifts in NSW and Victoria. Both states had their largest kill weeks in five years, processing 37,994 and 25,411 head, respectively.

Consistent lifts across all states last week (up 0–⁠8%) also contributed:

• NSW up 6% to 37,994
• Queensland up 6% to 77,335
• SA up 1% to 3,815
• Tasmania up 1% to 5,016
• Victoria up 8% to 25,411
• WA steady at 2,609.

Sheep Slaughter

Lamb processing reached records, lifting 4% for a record throughput of 527,045 head, the fourth consecutive week above the half-million mark. This reflects the continued supply of the 2024 lamb cohort, many of which were retained longer due to poorer conditions and weight gain decisions.

NSW throughput lifted 5% to 131,364, its largest week since September 2024. Victoria’s throughput also lifted 3% last week to 261,758, the second-largest state throughput, just behind last month’s record. State-by-state breakdown was as follows:

• NSW up 5% to 131,364
• Queensland up 4% to 1,460
• SA up 8% to 61,959
• Tasmania up 7% to 11,563
• Victoria up 3% to 261,758
• WA up 1% to 58,941.

Lifts were also seen in sheep slaughter, which increased 4% to 197,580, though throughput remained below the 2025 average. Increases across both categories took the combined slaughter to 724,627 head, the third largest throughput of the year.

Attribute to: Erin Lukey, MLA Senior Market Information Analyst.

 

 

Farmers Urged to Increase Biosecurity Measures Following Heightened Risk Assessment

Livestock farmers across the United Kingdom are being urged to bolster their biosecurity protocols following an official increase in the threat level for foot-and-mouth disease (FMD) from ‘low’ to ‘medium’. The Department for Environment, Food & Rural Affairs (Defra) announced the change earlier today, citing a heightened risk of the highly contagious animal disease entering the country.

While there are currently no confirmed cases of foot-and-mouth in the UK, the raising of the threat level reflects growing concerns within the agricultural sector and government agencies. This decision comes on the heels of recent outbreaks of the disease in mainland Europe, particularly in Hungary and Slovakia, as reported earlier this month. These incidents have increased the perceived likelihood of the virus being inadvertently introduced to the UK through the movement of animals, animal products, or even contaminated materials.

Foot-and-mouth disease is a severe and highly infectious viral illness that affects cloven-hoofed animals, including cattle, sheep, pigs, and deer. An outbreak in the UK could have devastating consequences for the agricultural industry, potentially leading to widespread culling of livestock, significant economic losses, and restrictions on trade. The memory of the 2001 foot-and-mouth crisis, which cost the UK billions of pounds and led to the slaughter of millions of animals, remains fresh in the minds of farmers and policymakers.

In response to the elevated threat level, Defra is advising all livestock keepers to review and strengthen their biosecurity measures immediately. This includes:

• Strict control of access to farms and animal housing: Limiting unnecessary visitors and ensuring thorough disinfection of vehicles and footwear.
• Enhanced hygiene practices: Implementing rigorous cleaning and disinfection protocols for equipment, vehicles, and personnel.
• Careful sourcing of animals and animal products: Ensuring all new livestock are sourced from reputable, disease-free sources and adhering to all import regulations.
• Vigilant monitoring of animal health: Regularly checking livestock for any signs of foot-and-mouth disease, such as blisters on the mouth, feet, and teats, excessive salivation, and lameness.
• Prompt reporting of any suspicious signs: Contacting a veterinarian or the Animal and Plant Health Agency (APHA) immediately if any unusual symptoms are observed.

Speaking earlier today, a Defra spokesperson emphasised the importance of proactive measures: “The increase in the foot-and-mouth disease threat level to ‘medium’ is a precautionary measure to reflect the evolving situation in Europe. While the risk remains that the disease could enter the UK, taking robust biosecurity measures is the most effective way to protect our livestock and the wider agricultural economy. We urge all farmers to remain vigilant and implement the necessary steps to safeguard their animals.”

The threat level will likely lead to increased scrutiny at UK borders, with stricter checks on imports of meat and dairy products from the European Union. Travellers returning from the continent are also being reminded of the regulations regarding the import of animal products and the potential risks they pose to UK agriculture.

Organisations representing farmers across the UK have echoed Defra’s call for heightened vigilance. The National Farmers’ Union (NFU) has issued guidance to its members, stressing the need for collective responsibility in preventing the introduction and spread of the disease.

As the situation in Europe continues to be monitored closely, UK farmers are bracing themselves and implementing stricter measures to protect their livelihoods and the nation’s livestock from the potentially devastating impact of foot-and-mouth disease. The coming weeks will be crucial in ensuring that the increased threat level does not translate into a real outbreak on UK soil.

UK Farmers Raise Concerns Over Food Standards in Potential US Trade Deal

As the United Kingdom and the United States revive talks of a potential UK-US trade deal, British farmers are voicing strong concerns about protecting UK food standards, especially regarding hormone-treated US beef.

US-UK Trade Deal Talks Resume

Speaking recently, US Vice President JD Vance expressed optimism about a future agreement, stating there is a “good chance” of finalising a deal. However, previous negotiations stalled over major differences in food safety regulations and animal welfare standards.

British Farmers Demand Equal Standards for Imported Meat

David Barton, Livestock Chair of the National Farmers’ Union (NFU), stressed the importance of holding imported food to the same high standards required of UK farmers.

“There is no way we would accept anything that is not produced to our standards,” said Barton. “If US beef is to be imported, it must pass the same rigorous tests as British meat.”

UK Beef Farming: A Quality-Driven Model

Barton, who runs a beef cattle farm in the Cotswolds, near Cirencester, highlighted the strengths of British beef production. His cattle are largely raised on natural grass pasture and their mother’s milk, with winter feed sourced locally.

“Our temperate climate, our lush grass — the British Isles are just designed for beef. We don’t have to add much,” he explained.

While he respects the efforts of American beef producers, Barton emphasised the advantages of the UK’s natural farming conditions and traditional practices.

Trade Deal Implications for UK Agriculture

British farmers are urging the UK Government to ensure any post-Brexit trade agreements uphold the country’s high animal welfare, environmental, and food safety standards.

The inclusion of hormone-treated beef or lower-standard imports could undercut UK producers and undermine consumer trust. The outcome of these negotiations will have lasting effects on British agriculture, food integrity, and the broader UK food supply chain.

---

Key Takeaways:

• UK farmers support fair trade but demand equal standards for imported food.

• Hormone-treated beef remains a sticking point in UK-US trade talks.

• The NFU calls for a level playing field to protect UK farming and consumer trust.

Original Source: BBC News

 

UK Beef Trade Witnesses Historic Activity as Prices Climb to £7/kg

The UK beef market is experiencing historically high prices, with the R4L steer price recently breaking the £7/kg deadweight barrier. This unprecedented situation is driven by a combination of factors:

Reduced Domestic Cattle Supply

The UK cattle herd has been shrinking, particularly the beef female breeding herd. This decline, coupled with a forecast 6% drop in prime cattle slaughter for 2025, means fewer animals are available for processing. Several factors contribute to this, including underlying business profitability concerns, declining direct payments to farmers, and a shift towards dairy-beef production. Farm closures in regions like Scotland have further exacerbated the supply shortage.

Strong Demand

Despite rising prices, demand for British beef remains robust both domestically and in export markets. Consumers increasingly prefer fresh, primary beef cuts. The global appetite for beef has also contributed to strong export figures for the UK.

Increased Costs

Farmers face higher input costs for feed, energy, and transportation, which are being passed down the supply chain. Rising minimum wage and other economic factors are also influencing prices.

Global Market Influences

International demand, particularly from the EU, and ongoing global supply chain disruptions contribute to the UK’s beef price levels. While the UK is a significant beef exporter, it also relies on imports to meet demand, making it susceptible to global price fluctuations.

Weather Conditions

Unpredictable weather patterns can impact agricultural production, leading to lower crop yields for feed and affecting cattle health, further straining supply.

Looking Ahead

While high farmgate cattle prices are expected to be supported throughout 2025 due to tight supply, the price sensitivity of consumers will be a crucial factor in overall carcass values. The UK is also expected to increase beef imports to compensate for lower domestic production.