THERE’S been widespread rises of 10-20c/kg in direct consignment slaughter cattle rates stretching from Central Queensland all the way into southern NSW and South Australia over the past week, as slaughter cattle supply has tightened following recent rain.
While for many, conditions may remain dry, local instability in the weather with patchy beneficial falls has lifted confidence that decent rain lies ahead, and its being reflected in meatworks bookings this week.
Nobody Beef Central has spoken to really saw the change in producer sentiment coming, but tempting, scattered storm rain across large areas of eastern and southern Australia since late October has tempted many vendors to withdraw, or at least hold back.
Producer sentiment has clearly shifted, Elders economist Richard Koch noted in commentary yesterday, with the change in the weather pattern meaning in Victoria, those that were sellers only a month ago are now buyers, with late spring rain and more forecast. He reported a big sale of Angus cattle less than 300kg at Longreach into the mid-500c/kg range to backgrounders, with 20c/kg freight to get them onto the Downs.
Queensland processors that had plenty of over the hooks bookings deeper into November are now much more current, with some spaces available weeks two and three in November.
The end of the season for many larger northern pastoral company operators has also started to limited supply somewhat, to areas further east and south.
Others were keen to remind us that there’s only four to six weeks left for many northern export processors’ kill rosters before Christmas break, suggesting that available 2025 spaces might not last too long, if it stays dry.
However widespread rain any time over the next month could see some Queensland export processors struggle to maintain a kill in the run through to Christmas break.
“It could get challenging, this side of Christmas,” one processor contact said. “I would say we could see some lost production days due to tight supply over the final stages,” he said.
Direct consignment rates lift
Competitive export processor direct consignment grids In Queensland this week are up 10-20c/kg, after moving downwards only two or three weeks ago due to the impact of particularly hot weather and little sign of rain at the time.
Plants in southern Queensland this week have offers of 700-710c/kg on heavy cows and 780-790c/kg for four-tooth heavy grass ox with an HGP (some offers 800c/kg no HGP). Central Queensland plants are 20c/kg behind those rates.
In southern states, local supply has slowed this week as conditions in some regions start to turn around. The local problem is weight – with few killable cattle about. After earlier declines of 10-20c, best quotes seen this morning out of eastern parts of South Australia and southern NSW are up 10-20c/kg, with 830c/kg available on four-tooth grass ox (no HGP) and 760c/kg on good heavy cows.
Saleyards channel: cows show solid uplift
Yardings are trending down this week, across a large expanse of Australia. In the north, Emerald is anticipating only 460 head on Thursday, and Charters Towers is showing 1500. Roma this morning is down 1500 on last week, due to the impact of local patchy storm rain.
Wagga sale yesterday yarded 4260 up 10pc on last week. The overall quality of the cattle was fair to good, with a notable increase of heavier cattle in the mix. An influx of Victorian restockers contributed to stronger competition, especially around specific breeds. Buyers demonstrated a willingness to pay premium prices for vendor bred Angus steers and heifers. One of the standout features was the cow market, which experienced a noticeable uptick in prices, with values rising by more than 30c/kg. On the export front, heavy steers and bullocks sold at significantly higher prices, ranging from 410-490c/kg. Heavy heifers with good shape saw an improvement of 18c, fetching between 432-467c/kg. The cow market saw heavy cows selling for 400-435c/kg, reflecting overall 32c/kg increase. Leaner cows less than 520kg were also highly sought after, gaining 39c and selling between 370-424c/kg. Additionally, restockers looking for young cows contributed to a substantial market push, elevating prices by 63c/kg. Cows intended to return to the paddock made between 370 and 421c/kg.
Gunnedah yarded 2150 head this morning, 870 less than the previous market. It was a good quality yarding with a good supply of cows and solid lines to suit feedlots and backgrounders. There was strong competition across the board for cattle to process and feed. Cows were significantly dearer with prime heavyweight score 4s selling from 402c to 433c/kg.
Wodonga yarded 928 head, down about 350 on last week. Demand was very strong for well finished and well-bred secondary types. The cow market was the feature, with prices lifting significantly. Heavy steers and bullocks suitable for processors lifted in numbers this week and quality improved, selling from 435-476c/kg.H eavy cows were in shorter supply, and a bigger field of buyers were at the rail. Heavy cows saw an uptick of 45c/kg. The bulk making from 410c to 499c/kg. Leaner cows less than 520kg were mixed, selling from 370-426c/kg.
Roma store sale this morning responded to local much-needed storm rain, yarding 5313 head, down 2182 head or 29pc on last week. An interim report (full report tomorrow, as the sale as still in progress) reported the market stronger for better lines. Grown steers 500-600kg sold to 446c/kg, while steers +600kg averaged 496 for score 4s and 476c for score 3s.