Why there's the chill wind of beef cuts price cuts in the air
I was reminded prematurely of the coming changing of the seasons by reports — primarily from the south — that some factories were “flooded” with cattle last week.
And these additional numbers were this week being translated into a price drop that in some cases was heading below the €4.00/kg mark.
Will those factories who yesterday morning told their agents to drop their quotes back to €3.95/kg get cattle at that price?
One independent buyer I spoke to told me: “There’s a big difference in a farmers head between €4.00 and €3.95 - a far bigger difference than between €4.05 and €4.00.”
There is no doubt that factory bosses want prices back, with all sorts of ominous figures doing the rounds for what might be on offer come early October.
In the meantime, my information is that general base prices last week stayed solid from €4.00-405/kg.
There was obviously more for those on contract, with quotes yesterday for bullocks ranging from €4.05/kg back to that €3.95/kg figure.
Quotes for heifers have also eased by 5c/kg, with the price range for the early part of this week at €4.05-4.10/kg, with a shake of €4.15/kg still about.