Mart prices firm further but not yet at frenzied levels reported 12 months ago
This time last year the headline on this report read: “Big numbers as trade hits 30-year high”. Twelve months on, strong and improving mart prices have again seen mart entries increase.
The trade last week saw prices firm further with Adam Coughlan in Listowel reporting a bigger entry and stores stronger by €50-80/hd, while in Kilkenny George Candler also noted improved numbers and a heifer market stronger by €20-70/hd.
However, the averages reported through the ringside system show we have not quite yet reached the level of frenzied prices seen in the early part of 2023, but we do appear to be getting there.
Twelve months ago, your better bullock averaged from €3.04-3.21/kg overall across all the various weight divisions, while last week the overall average price range under 600kgs ran from €2.973.16/kg.
However, the overall average price in 600kg+ division is currently stronger by 8c/kg than 12 months ago at €3.29/kg, or just shy of €50/hd.
But there is a very marked difference when you compare and contrast overall average bullock prices for those under 600kg, especially among those of lesser quality.
Currently your lesser quality bullock under 600kg is returning averages between €1.93-2.32/kg as opposed to €2.502.58/kg last January. That’s a difference of 53c/kg in your 300-400kg animal or €159-212/hd and correlates with mart manager comments that suggest the only value in the system at present is among those lighter, long-keep cattle.
On the other side of the equation, strong feeder and factory demand sees your lesser quality 600kg+ bullock currently 7c/kg stronger than last January at €2.79/kg.
So while the average mart price for your forward/beef bullock, from poorest to best, is from €40-50/hd stronger than a year ago, those under that 600kg+ cut off are not just yet at the same pitch as 12 months ago, but they are closing.
Ringside returns
By comparison, ringside returns show that overall prices of €2.86-3.07/kg for your average type heifer under 600kg are between 25-27c/kg higher today than this time last year when her overall price range ran from €2.58-2.82/kg.
However, your better top quarter continental heifer under 600kg is doing a good job of keeping up with last January’s prices as she currently is priced overall at €3.05-3.07/kg. Above 600kg, your better heifer averaged exactly the same as she did 12 months ago last week at €3.15/kg.
With a few lessons learned last year when very strong mart prices for forward type stock saw some lose considerable amounts of money when it came
time to sell later in the spring and into the early summer, some mart mangers commented that those buying “need to be careful”.
They expressed concern that the demand for forward stores, especially Angus, is now so strong from feeders that it is skewing the trade to the point that some traditional store to beef finishers are reluctant to get involved.
I can see why. Unlike their feedlot
competition, their grass fattening model is based on a longer finishing time and while the intensive feeder faces higher costs, he does have the advantage of being able to adapt quicker to any changes in factory prices, whereas your grass finisher is at the mercy of not only fluctuations in factory prices but also at the mercy of the weather.
On a different note, Maurice Brosnan in Gortatlea is no stranger to setting
records when it comes to large sales or strong prices. Last week he put through, over three sales, 2,800 animals.
During the course of one of those sales one farmer presented 33 Friesian bullocks weighing in at 280kg. Undaunted, Maurice and his staff ushered them all into the ring with a minimum of fuss. Was it a tight squeeze? “Not really, they weren’t overly full,” Maurice replied. Final price €640/hd.