The latest September quarter feedlot activity results released by ALFA and MLA just minutes ago reveal a savage 10 percent drop in grainfed cattle numbers on feed compared with three months ago, and a 7pc fall year-on-year.

ALFA president Jim Cudmore said the survey outcome was the result of the confluence of the high Australian dollar, strong feeder cattle and grain prices along with continued global economic uncertainty.

“The Australian dollar for the quarter was up 16pc against the US year-on-year, feeder cattle up 6pc while feedgrain prices were at similar levels,” he said.

“Feeder cattle prices reflected the ongoing good seasonal conditions (and hence re-stocker demand for young cattle) while grain prices over the quarter remained strong due to mainly tight world corn stocks,” Mr Cudmore said.

As a result, cattle numbers on feed and capacity utilisation levels fell in every state with the highest falls in numerical terms experienced by large feedlots in Queensland, NSW and Victoria.

• More analysis and feedback from industry stakeholders on Beef Central later today, and in tomorrow morning’s upload.