'Stubborn' factories refusing to buy at €4/kg
"We still can't see any sign of dessert despite that much heralded 'Last Supper' Holy Thursday meeting" a beef finisher said to me yesterday morning.
He was after being quoted 395c/kg on the grid for his heifers and the factory in question was not going to give him €4/kg.
He was trying to share around his stock, but felt he would have to return to the plant that gave him the even money last week.
In any case it does seem to be a tad tougher this week to nail down the €4/kg even though it is being secured in places but more often than not the processor is trying its best to buy at the 395c/kg.
It is a similar story with the steers, where finishers are finding the factories stubbornly sticking to the 390c/kg despite a few reports of a base of 395c/kg being agreed. In the main, the steers are being quoted at 390c/kg. It's interesting, though, that it appeared easier to secure a 395c/kg base in the south yesterday. Out of spec stock were being quoted at 370-380c/kg.
I spoke to another farmer who sold his overage, mainly U grade steers this time last year at a base of 474c/kg. He would be a long way short of this for similar type stock at the moment. If, as you would expect, these types kill out at a minimum of 450kg, are we looking at a similar figure in euros in loss per animal? It doesn't bear thinking about.
IFA livestock chair, Henry Burns said that the trade is relatively steady with finishers negotiating base prices of up to €4/kg for heifers and €3.95/kg for bullocks.
The tops of the bulls are varying between 360-370c/kg while the R grades are at 350-360c/kg. The O grade bulls are making from 300-330c/kg. Looking at the table (right) you cant help but notice there is only a very slight difference between the prime young bull prices and the old cull cow prices.