UUPRECEDENTED buying competition from processors in southern states is one of the main driving reasons behind another 20c/kg rise in Queensland processor slaughter grid prices this week.

Cattle buyers operating for Victorian and southern NSW plants are in plague proportions in Queensland saleyards over the past seven days, and are also active in paddock purchases bought over-the-scales at local yards.

One veteran Queensland cattle buyer said he had never seen the competition from southern interests more intense than it is at present.

“There’s always a few southern plants active in Queensland in the June-August period – but not like this,” he said.

He speculated that 4000-5000 Queensland cattle per week might be currently being shipped south, and possibly more.

“Some of the deals are large runs of 500-600, out of the paddock as far north as Richmond,” he said.

Plenty of southern transactions had happened for paddock cattle sold over-the-scales at Roma, Dalby and as far north as Winton and Richmond in Queensland northwest in the past week. Prices around 320c/kg liveweight over the scales Roma for 0-4 tooth ox and 315c scales Blackall have been reported, and cows 260c/kg Roma (both unsubstantiated).

Active buyers in selling centres like Dalby and Roma over the last week have included Midfield, O’Connors, Hardwicks, AMG, JDE, Ralph’s and further north, Bindaree.

As explained in this separate article published this morning, numbers of killable cattle are currently very tight in southern regions, but adding to the local supply challenge has been expansions and re-activations at a number of beef processing plants in southern Australia over the past 15 months.

In response, some Queensland processors have lifted rates another 20c/kg this week, in order to remain competitive. It means many grids have now lifted 40c/kg over the past three weeks, to rates not seen since soon after Easter. Other competitors whose offers were already ahead last week, have remained unchanged this morning, but told Beef Central they were considering their options.

As of this morning, good heavy boner cows were making 470c/kg in quotes from processors in the southern Queensland region, while four-tooth grass export steers with HGP are at 530-550c.

Central Queensland rates are 10-20c/kg behind those numbers, and North Queensland another 20c/kg.

Reflecting the current tightness in local supply, processors in eastern parts of South Australia have cows at 570c/kg this week (up 20c) and 620c/kg on a four-tooth ox, no HGP (+10c). Competitive quotes in southern regions of NSW this week are offering 540c/kg and four-tooth heavy steer 620c (no change on last week).

Last week’s Eastern states NLRS slaughter saw numbers ease slightly, to 138,787 head – but still up 18pc or 21,200 head on this time last year, and more than 42,000 higher than the same week (week 28) in 2022.

Saleyards prices

Wagga sale yesterday saw the surge in prices the previous sale attracting a few more cattle, with agents penning 3680 head. There was a good lineup of heavy cows, with the market generally dearer again. Bullocks made to 375c and averaged 370c/kg. Mediumweight 2 score cows made to 275c to average 261c, heavyweight 3 score cows averaged 291c and the best of the heavyweight cows reached 339c/kg.

Wodonga yarded 1018 head this morning, with the market again dearer. There was a good supply of ideal heavy cows, where competition improved as the sale progressed. Export processors scrambled to secure heavyweight cows and paid to a top of 360c in pen lots, with a good sample averaging 346c/kg. Mediumweight score 2s to processors averaged 260c and sold to 288c, while heavyweight 3 score cows averaged 316c and made to 334c/kg. Only a handful of bullocks penned with sales to 362c/kg.

Gunnedah this morning yarded 1585 head, much the same as last week. Young cattle and cows made up the bulk of the offering along with a fair supply of grown steers and heifers. Heavy grown steers suitable to processors were considerably dearer. The well-finished heavy grown heifers saw a trend only slightly dearer. There was little change in the heavyweight cow market while odd pens of medium weights carrying strong condition sold strongly.

Forbes yarded 1220 yesterday, about half last week’s numbers. Cows were 15c dearer, 2 and 3 scores sold from 150-280c and heavy prime cows, 280-320c/kg.

Early prices coming out of Roma this morning had slaughter heifers selling for up to 334c/kg. Full Roma report tomorrow