Chris Howie

Fabric of a country life. 24 years ago when I got to Inverell with a young family 1700km from home, a bloke rang me who I had never met and said “Chris, I will pick you up tomorrow and we are going to the Casino weaner sale”. Over the years we have become great mates and through different connections have put some big deals together and perhaps had several small beers with a lemonade dash.  One thing that made us mates was how much we were invested in our kids. Letting each other know about their success and failures as well as providing contacts that gave them an opportunity.

10 years ago he called and let me know one of his lads was playing cricket in Adelaide so I went and watched. He went to my daughters AFL Grand Final between Gunnedah and Inverell and I helped his wife make the celery salad at his 50th. As we know, one kid in a family is no more important than the other but in the country our community thrives on seeing the young ones succeed. The weekend doesn’t get much bigger for any family with three boys – Harry named Captain of the Wallabies, Will playing in a Back to Back premiership with Brothers Union club and Sam making 73 with the bat. Cheers to proud parents Mandy and Cameron Wilson.

Cattle

Investment in Industry. RMA Network had a group of 78 agents and producers tour the new Thomas Foods International Beef Works and their Southern Cross feedlot at Tintinara last week. The common feedback from all that attended was the scale, attention to detail, calm flow of livestock, forward planning and investment. TFI have created a state of the art supply chain aligned to cattle producers across Australia. In turn the automation seen within the processing plant is set for the expansion of a future lamb/sheep processing chain that fits seamlessly into the existing operation. TFI staff Ben Davies, Mark Inglis and James Sage all provided an open book opportunity for questions to be asked. Many of the group had not seen what happens after the sale and the outcome has definitely created an awareness and the importance of relationships all the way through the supply chain.

Speaking about having a go – The Alex Scott and Staff agency Livestock Manager, Neil Darby let me know his company will hold their first Store cattle sale at Yea on the 13^th September starting at 9.30 am with 1100 booked so far and numbers growing. The best steers I have seen in a sale were at Yea which is renowned for the quality of its cattle. This additional sale will provide local producers the opportunity to capture the market real time with independent agency support. I will be heading along if anyone has an order they wish to operate – credit approved of course.

Sam Bartlett Adcock Partners Livestock and Property, Quilpie said the last three weeks have been unseasonably hot. With the addition of wind some areas are starting to look for rain with the softer feed pinching up. The channel country turn off is on with many bullocks and cows being sold and booking time to slaughter are ranging from 7 – 10 days. Further west towards Birdsville and Bedourie is looking good with some still in buy mode.

Steve Gaff Red Centre Rural Alice Springs has been sending cattle to export over the past four months with the Vietnam orders on best heavies in the $2.80 range and lighter steers and bulls $2.70. High grade cattle for Indo seem to have stabilised at $3.00 although there is a bit of price resistance. Heavy slaughter cattle are going to the processor with excellent demand however store cattle enquiries have slowed up.

Following on at Alice Springs, David Eggleton Livestock and Property yarded 3040 cattle last week from Lucy Creek, Palmer Valley and Huckitta Stations at the Bohning yards. Competition came from Teys, Hardwicks, Ralphs, Morgan Feedlot, Platinum Ag and local buyers with a full clearance. Reports were the cattle presented in good order. 2400 steers ranged from $3.35 – $3.84 on the better types and $2.70 – $2.90 on the manufacturing models. 600 cows saw light cows at $2.00 and the better slaughter cows topping at $3.04

Charters Towers agency Williams Livestock and Rural principal Troy Williams quoted this week’s sale with 3600 held relatively firm with a full field of buyers. Best bullocks $3.30, best cows $2.90, heavier store steers at $2.90 with heifers $2.70. However lighter store steers and heifers are struggling with a lack of buyer confidence.

Roma’s MAA livestock and properties Duncan McLeod added it is difficult to pick the cattle prices at present. Some of the larger processors have numbers coming from the West and did not buy however the Southern contingent of processors are very strong securing significant numbers at Roma this week.

Andrew Peadon, Barlow Peadon Schute Bell, Dubbo said many feeders are blowing top end weights in Central NSW with the strength of the feed. Grazing crops and clover are outstanding and the cattle are really doing well which is catching some out when estimating how many they have to sell for feedlot specs. Considering the time of the year and strength of feed, weighing early maybe a good idea.

Victoria – Jarrod Bennetts from Everett Seeley Bennetts advised with the closure of Pakenham saleyards it has created the need for Leongatha sale yards to have a store sale every Thursday of the month. The condensing of numbers into less yards makes this a smart decision and allows northern orders to operate consistently on good quality cattle.

Sheep

Quick Merino ram sale report: Available finance, last year’s prices and fodder shortage have all had a direct impact on this year’s ram sales in the south. Quality Wool as one of the major brokers in the Australian wool industry assist many of their producers with sire selection advice as well as facilitating ram sales.  David Whittenbury, Quality Livestock manager noted ram sales are suffering from reduced demand due to the season in SA and an increase in catalogued numbers following the sale results over the past few years. This has seen clearance rates and averages drop across a number of sales. Though not a new occurrence as we have seen it happen with bull sales over the years it is still a worrying sign for the merino industry.

Tom Penna, Stud Stock, Elders SA, long-time work mate and retired express fast bowler, commented that this is a year where the studs that have large pastoral clients seem to be holding their own on clearance. Pastoral orders can be very hit and miss dependant on season with most targeting the base level price but have been a saving grace this year.  The larger volume studs have achieved good clearances with averages ranging between $1700 – $2200. Studs which are reliant on agricultural clients only have ranged from $1000 – $1300.

Early lambs, Murray Bridge is one of the earlier lamb sales and Mark Thurston, Nutrien account manager based in Murray Bridge gave me a quote on the 2 sales they have run. First sale was XB lambs straight off mum following a difficult winter with good trade lambs making $150 – $210, Store lambs 30 – 38kg to feedlot ranged from $110 – $140 and light restockers $50 – $70. The second sale was the annual Merino woolly wether lamb sale with the lead drafts making $84 – $111, second cut $65 – $78 and the immature merinos making $25 – $35. Mark said the recent wind has really cut the country up with heat forecast and crops struggling. Early reports from the West Coast circuit sale run by Elders in SA are Merino lambs reflected similar rates to Mondays sale with extra freight taken into consideration. Overall I suggest a very good result.  Nearly all lamb vendors are selling entire drops on first draft with interstate enquiry being the main buyers across both sales.

Rupert Fawcett, Ellis Nuttall, Bendigo said lamb numbers have not yet appeared with indications they are 4 – 6 weeks away. Crops are good but feed is short heading west. Heavy lambs topped at $280 estimated at 32kg dressed and some sappy suckers estimated at 23kg made $227. Rupert said quality lambs are in the $8.60 – $9.00 range although many lambs are starting to show dryness and dropping into the store category.

The young merino ewe sales have kicked off and even though some areas are still struggling with season rates seem to be good for vendor and buyer. Karoonda in SA is an early sale and Simon Lehmann from Spence Dix quoted best dispersal 1.5 year olds up to $232 with the majority in the $120 – $160 slot. 4.5 year olds were solid between $100 – $144 with the 5.5 ewes landing between $120 – $130. Most were July / August shorn.

The common sheep thread I am hearing from all over is farmers exiting the sheep industry to go full time cropping. Again last year’s prices, season, fodder costs and financiers not wanting to fund livestock are all significant contributors to this trend. Tip from Chris: Old man Goyder was very smart and if you are outside his line in SA Keep the Sheep.

Clint Wardle, newly appointed Livestock manager for West Coast Rural in WA said the season is ticking along well although some southern areas of WA did get too wet. Weight in lambs is not there yet as they had a difficult start and much like SA it is expected stores will be in plentiful supply.

All conversations point to large numbers of southern & western merino and 1^st cross lambs in September and October falling into the store category. Combined with the young merino ewe sale offerings growing into late October through WA, SA, Vic and NSW. My advice for anyone north of Broken Hill, Dubbo & Hay is having your livestock finance sorted tomorrow and secure quality. Buy early to avoid disappointment.

Barlow Peadon Schute Bell, Dubbo principal Andrew Peadon said the season is exceptional. Feed is really growing now and the quality of the livestock is improving every day. Quality suckers are only a little over 10% of the yarding at Dubbo and keenly sought. Mutton demand lifted this week with rates of $3.90 – $4,30 reappearing.

Big month of stuff happening: LambEx in Adelaide with a lot of industry level attendees and trade stalls. Wodonga TAFE Agency and Supply chain training course with the 300^th attendee, The Bush Summit in all states with a reduction of red tape being a focus and Penny Wong at the McLaren Vale event being belligerently rude about sheep live export and the reason behind decisions made just to name a few.

Agistment advice: For those that have livestock on agistment in the West of NSW and Channel country make sure you inspect your stock now not in three weeks. From experience the wind and heat cause soft feed to quickly disappear and the weight gain you were expecting goes with it. Speaking with Simon Rowe at Princess Royal feedlot we both agree it is easy to have ideas of Sydney Kidman grandeur about “the big win” from agisting but many times the heat shrivel factor can lead to disappointment.

MLA Cattle and Sheep projections update have been released. Two things that standout – Lamb exports are at record highs and the tough season may cause a supply of quality lambs to become an issue. Demand for beef continues and pricing will remain solid with the southern feeder supply next year potentially impacted by season creating the opportunity to put calves away now.

Deserved recognition – It has astounded me for years how politicians and councillors always get an Order of Australia just for doing their job (perhaps their paid PA writes it for them??) And committee members get life membership even though heaps of people around the club do more. Once upon a time, before twitterbook and mobile phones we had the time to identify and reward those in our community because they deserve it, instead of “I’m too busy.”  Take the time to drop a line to those that run these different awards shows – many times without your submission they will never know about the efforts of those that deserve recognition.

Opportunities

• Sell them when they are ready, don’t fatten them twice.
• Stack light merino lambs away for a 9-month trade plus wool
• Light steers and heifers are still worth a shot.
• Southern cow and calf units to freshen and split.
• Not getting dragged into full time cropping – Keep the sheep & cattle
• Finals time – support the kids and tell stories at the bar.
• Never stop learning, training and adopting

Chris Howie is the CEO of RMA.