BEEF processing operations are slowly re-gathering pace after two holiday-affected short weeks.

Last week’s eastern states seven-day kill reported by NLRS reached only 114,794 head as processors scheduled four-day holiday rosters.

This week, numbers can be expected to jump about 20 percent again, as full kill schedules resume.

Most Queensland and northern NSW processors spoken to this morning suggested there are a few more cattle now coming forward, including some larger lines from western areas. Reinforced by some sizeable close-outs among grainfed cattle, some Queensland plants are now more-or-less covered for kills until weeks commencing 18 April and even 25 April. Anzac day on April 25 will present another short week for some plants.

Some grids trending down

As reported in recent weekly kill reports, there’s been an unusually large 20c/kg spread evident between grid offers in the Queensland market in the past few weeks.

That’s closed-up a little this week, with one large multi-site processor which previously left its earlier rates at higher money, lowering its cow and steer grid offers 10c/kg this week.

It’s reduced the spread between competitors to just 10-15c/kg again on most lines, with offers seen this morning ranging from 490c-505c/kg on four-tooth grassfed ox, and 440-455c/kg on heavy cows for SEQ kills.

It’s the lowest point seen in grid pricing since a brief slump last October when cows got down to 480c briefly in October. Most blamed the continued correction on the combination of an unexpectedly strong Australia dollar (currently sitting between US76-77c), and continued flat demand in key export markets.

At the same time that Queensland processor grids have trended down, northern live export prices have also come under pressure since Easter, with a new order for shipment out of Townsville this week from one exporter at 290c/kg liveweight, and as low as 270c in some export offers, reports suggest.

What’s also evident in early post-Easter markets this week is a softening in store cattle price, with some feeder steers at Dalby yesterday making less than 300c, down about 25c/kg on what they were making before Easter.

Easter kills ease substantially

In a breakdown of last week’s Eastern states kill, Queensland slaughtered 53,794 head from Tuesday to Friday, almost unchanged from the previous four-day Easter week but 15pc lower than this sale week last year (also impacted by Easter).

The NSW kill last week was 28,404 head, up 5pc on the previous week but still down 20pc year-on-year, while Victoria’s kill at 22,354 head was back 16pc on 2015 performance.

South Australia killed 6558 head for the four-day week last week, down 6pc on last year, while Tasmania processed 3684 head, back 7pc year-on-year.