MORE Angus feeder steers from southern States are being fed in Queensland feedlots as surplus numbers erode the long-standing differential between black steers and their flatback counterparts.

According to buyers Beef Central spoke with this morning, paddock prices for 400kg+ flatback feeder steers in Southern Queensland and Northern New South Wales remain relatively firm on rates two weeks ago at around 350-360c.

One large buyer has active quotes for flatback steers delivered Downs at 350c/kg, while others are quoting 355c to 360 for the same article.

But their quotes also reflect the extent to which the gap between flatbacks and Angus feeder steers has narrowed.

The same buyers are quoting around 370-380c/kg for Angus feeders delivered downs, a premium of just 10-20c over flatbacks, which compares with 50c only a month or so ago.

In Southern/Central NSW buyers have told Beef Central that Angus steers are fetching 375c compared to 340c for flatbacks.

The changing price dynamics reflect the number of Angus steers now coming forward.

The national saleyard feeder steer indicator has eased by 11c from 351c/kg a fortnight ago to 340c today.

More specifically the national indicator for heavier 400kg + feeder steers has eased by 18c over the past two weeks to a level of 345c today.

The northern/southern price differential is also reflected in State 400kg feeder steer indicators.

The Qld 400kg+ feeder steer indicator is 13c lower than two weeks ago to 348c today.

The NSW 400kg+ feeder steer indicator is 22c lower to 346c and Victoria 31c lower to 316.

Elders business intelligence analyst Richard Koch observes that the Southern feeder market has eased to the point where backgrounders may choose to take cattle through to slaughter weights given good feed reserves.