The Big Dry puts heat on prices
LIVESTOCK: Big numbers of stock are hitting the saleyards at once, Iain Hyndman reports.
The Big Dry in certain parts of the country continues to have an impact on the price and sale of store stock. Independent Whanganui stock agent, livestock commentator, farmer, rural real estate agent and Horizons regional councillor David Cotton said the continuing dry spell in Hawkes Bay, northern parts of Wairarapa near Masterton and several areas of the South Island were having a major impact.
“The Bay is just too dry to push the store markets along,” Cotton said.
“They, and other dry areas, have such an impact on the store market. When they fire up, they can purchase tens of thousands of sheep and hundreds of cattle but, over the last two weeks, I can’t believe the large number of store numbers, both sheep and beef, coming out from Hawke’s Bay agents.
“Last Friday featured an almostcapacity yarding at Feilding. With the centralisation of saleyards this can certainly put the downward pressure on prices when such a large number of store livestock hits one region on one day.
“Stock was flowing in from the South Island, Te Kuiti, the Chatham Islands, Masterton and Hawke’s Bay. You have to take your hat off to the livestock agents, carriers and administration staff that battle their way through those huge days.
“We have seen the export lamb prices lift across the board 70c over the last month to $7.50kg, the mutton price just short of $6kg — I can’t remember it ever being that high.
“But the store market dropped back from the height of four weeks ago even with more rising schedules forecast. Contract prices are now out at around $8/kg.
“Cattle schedules remain flat at around the $5.10-$5.30/kg mark as cull cows are now rolling into the plants, but expect delays in killing space.
“The same applies to the store cattle market. There’s not enough feed to push the prices up along with extra numbers of store cattle being sold out of the South Island at discounted prices — watch this space,” Cotton said.
“We have enjoyed another good month down on the farm here at Kai Iwi, receiving another 90mm of rain over April, although the beginning of the month was stressful with spore counts topping 100,000 in our worst paddocks. A farmer in Feilding told me his count was over 260,0000. Once you have been bitten by eczema you are forever cautious.”
Meanwhile, farmers do like a good social event, even more if you throw in a business activity and food.
At a recent clearance sale in upper Aramoho, farmers got to do all that at one time.
“They don’t get the opportunity as much as they used to with lots of the local saleyards now closed down, including Fordell, Waverley, and Hunterville in recent years,” Cotton said.
“So, a clearance auction on account of Bint Enterprises was just the ticket to catch up with fellow farmers and chew the fat. There is certainly a lot of fat to chew when considering the government’s new water form regulations, Plan Change 2 (latest take on the One Plan), rates and of course, the weather.
“On the subject of weather, the day started with the clouds opening up at 6am with thunder, lightning and hail but, by 8am the storm had passed and a few cars started to trickle in at 9am for the 10am start. I was astonished by how many turned up between 9.30am and 10am. We should have charged an entry fee for hospice with 105 registered buyers and approximately 300 attendees.
“With technology and the likes of Trade Me, clearing sales are not as prolific as they once used to be.
“Equippers Church provided the great food, teas, and coffees. They even had a vegetarian meal, which is a brave move at a farmers’ gathering.
“With the number of attendees, it was not surprising that we had an excellent auction with just 10 items out of 300 not meeting reserve on the day.
“The highlight of the auction was the Kubota tractor with just 700 hours on the clock which made $65,000 going to a good home at Maxwell.
“Auctioneers Peter Barnett and John Thornton entertained the crowd with their quips and mathematical expertise as the bids flew in. All in all it was a fantastic day and successful clearance sale,” Cotton said. ■
Over the last two weeks, I can’t believe the large number of store numbers, both sheep and beef, coming out from Hawke’s Bay agents.
— David Cotton, livestock agent, farmer, and Horizons regional councillor